Shenzhen VMAX New Energy Group Co (SHSE:688612) Interest Coverage: 43.71 (As of Jun. 2026) — 26% Above Median

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SHSE:688612 Shenzhen VMAX New Energy Group Co Ltd SHSE:688612
95 GF Score
Price ¥38.78
GF Value ¥33.15
Valuation Modestly Overvalued
! 5 Warning Signs
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What is Shenzhen VMAX New Energy Group Co Interest Coverage?

Shenzhen VMAX New Energy Group Co SHSE:688612 +7.28% 95 Interest Coverage is 43.71 as of Jun. 2026, which is 26% above its 10-year median of 34.62. GuruFocus rates SHSE:688612 with a GF Score™ of 95/100 and a GF Value™ of ¥33.15 (Modestly Overvalued). The stock has 5 warning signs investors should review. Among 1,050 Vehicles & Parts companies, Shenzhen VMAX New Energy Group Co ranks better than 92.76% on this metric.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income by its Interest Expense. Shenzhen VMAX New Energy Group Co's Operating Income for the three months ended in Jun. 2026 was ¥179 Mil. Shenzhen VMAX New Energy Group Co's Interest Expense for the three months ended in Jun. 2026 was ¥-4 Mil. Shenzhen VMAX New Energy Group Co's interest coverage for the quarter that ended in Jun. 2026 was 43.71. The higher the ratio, the stronger the company's financial strength is.

Good Sign:

Ben Graham prefers companies' interest coverage to be at least 5. Shenzhen VMAX New Energy Group Co Ltd has enough cash to cover all of its debt. Its financial situation is stable.

The historical rank and industry rank for Shenzhen VMAX New Energy Group Co's Interest Coverage or its related term are showing as below:

SHSE:688612' s Interest Coverage Range Over the Past 10 Years
Min: 13.58   Med: 34.62   Max: 233.41
Current: 233.41


SHSE:688612's Interest Coverage is ranked better than
92.76% of 1050 companies
in the Vehicles & Parts industry
Industry Median: 8.445 vs SHSE:688612: 233.41

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.


Shenzhen VMAX New Energy Group Co  (SHSE:688612) Interest Coverage Explanation

Ben Graham requires that a company has a minimum interest coverage of 5 with the companies he invested. If the interest coverage is less than 2, the company is burdened by debt. Any business slow or recession may drag the company into a situation where it cannot pay the interest on its debt.

Interest Coverage is an important factor when GuruFocus ranks a company's overage Financial Strength .


Shenzhen VMAX New Energy Group Co Interest Coverage Related Terms


Shenzhen VMAX New Energy Group Co Interest Coverage Historical Data

* Premium members only.

The historical data trend for Shenzhen VMAX New Energy Group Co's Interest Coverage can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Note: For Interest Coverage, "No debt" indicates no long-term debt. An indication of "No Debt" does not necessarily mean that the company has no long-term debt obligations; it could be due to missing data in the quarterly or annual report. Use caution when interpreting this information.

Shenzhen VMAX New Energy Group Co Interest Coverage Chart

Shenzhen VMAX New Energy Group Co Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 30.70 25.88 38.53 56.12 99.98

Shenzhen VMAX New Energy Group Co Quarterly Data
Dec20 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
Interest Coverage Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 41.88 61.80 0.00 50.99 43.71

SHSE:688612 vs ORLY, AZO, GPC: Interest Coverage Comparison

For the Auto Parts subindustry, Shenzhen VMAX New Energy Group Co's Interest Coverage, along with its competitors' market caps and Interest Coverage data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Shenzhen VMAX New Energy Group Co Interest Coverage vs Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, Shenzhen VMAX New Energy Group Co's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Shenzhen VMAX New Energy Group Co's Interest Coverage falls into.


SHSE:688612
95GF Score
Shenzhen VMAX New Energy Group Co Ltd SHSE:688612
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Shenzhen VMAX New Energy Group Co Interest Coverage Calculation

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

If Interest Expense is negative and Operating Income is positive, then

Interest Coverage=-1* Operating Income /Interest Expense

Else if Interest Expense is negative and Operating Income is negative, then

The company did not have earnings to cover the interest expense.

Else if Interest Expense is 0 and Long-Term Debt & Capital Lease Obligation is 0, then

The company had no debt (1).


Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Shenzhen VMAX New Energy Group Co's Interest Coverage for the fiscal year that ended in Dec. 2025 is calculated as

Here, for the fiscal year that ended in Dec. 2025, Shenzhen VMAX New Energy Group Co's Interest Expense was ¥-7 Mil. Its Operating Income was ¥675 Mil. And its Long-Term Debt & Capital Lease Obligation was ¥134 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*674.634/-6.748
=99.98

Shenzhen VMAX New Energy Group Co's Interest Coverage for the quarter that ended in Jun. 2026 is calculated as

Here, for the three months ended in Jun. 2026, Shenzhen VMAX New Energy Group Co's Interest Expense was ¥-4 Mil. Its Operating Income was ¥179 Mil. And its Long-Term Debt & Capital Lease Obligation was ¥150 Mil.

Interest Coverage=-1* Operating Income (Q: Jun. 2026 )/Interest Expense (Q: Jun. 2026 )
=-1*179.04/-4.096
=43.71

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

The higher the ratio, the stronger the company's Financial Strength is.

Frequently Asked Questions Learn more about Interest Coverage →
What does a Interest Coverage of 43.71 mean?
Shenzhen VMAX New Energy Group Co (SHSE:688612) has a Interest Coverage of 43.71 as of Jun. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Shenzhen VMAX New Energy Group Co and its competitors. This is 26% above median its historical median of 34.62. Over the past decade, Shenzhen VMAX New Energy Group Co's Interest Coverage has ranged from 13.58 to 233.41. According to the industry distribution chart, Shenzhen VMAX New Energy Group Co ranks #76 out of 1050 companies in the Vehicles & Parts industry, placing it in the top 7.2%.
Is Shenzhen VMAX New Energy Group Co's Interest Coverage too high?
Shenzhen VMAX New Energy Group Co's current Interest Coverage of 43.71 is 26% above median its 10-year median of 34.62. Over the past 10 years, this metric has ranged from a low of 13.58 to a high of 233.41. The Vehicles & Parts industry median Interest Coverage is 8.45. Shenzhen VMAX New Energy Group Co's value of 43.71 is 417.6% above this industry median. Based on the distribution chart, Shenzhen VMAX New Energy Group Co ranks #76 out of 1050 companies in the Vehicles & Parts industry, which is in the top quartile — a strong position relative to peers. Overall, Shenzhen VMAX New Energy Group Co has a GF Score™ of 95/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Shenzhen VMAX New Energy Group Co's Interest Coverage compare to ORLY and AZO?
According to the Vehicles & Parts industry distribution chart, Shenzhen VMAX New Energy Group Co ranks #76 out of 1050 companies for Interest Coverage. This places Shenzhen VMAX New Energy Group Co in the top 7% of its industry — outperforming the majority of peers. The industry median Interest Coverage is 8.45. Shenzhen VMAX New Energy Group Co's value of 43.71 is 417.6% above this benchmark. Historically, Shenzhen VMAX New Energy Group Co's own Interest Coverage has ranged from 13.58 to 233.41 over the past decade. While the company's 10-year median is 34.62 vs. the industry median of 8.45, Shenzhen VMAX New Energy Group Co has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Interest Coverage for a Vehicles & Parts company?
The median Interest Coverage among Vehicles & Parts companies is 8.45, based on 1,050 companies in the industry. Companies in the top quartile (top 25%) have a Interest Coverage significantly above this median, while those in the bottom quartile fall well below. However, Interest Coverage should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Shenzhen VMAX New Energy Group Co's current Interest Coverage of 43.71 is 417.6% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Interest Coverage mean?
A high Interest Coverage can signal that a stock is expensive relative to its fundamentals. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Shenzhen VMAX New Energy Group Co and its competitors. For the Vehicles & Parts industry, the median Interest Coverage is 8.45 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Shenzhen VMAX New Energy Group Co's current Interest Coverage is 43.71, which is 26% above median its own 10-year median of 34.62. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Shenzhen VMAX New Energy Group Co stock overvalued right now?
Based on GuruFocus' analysis, Shenzhen VMAX New Energy Group Co (SHSE:688612) is currently considered Modestly Overvalued. The stock's GF Value™ is ¥33.15, compared to a current price of ¥38.78 — trading 17% above its estimated fair value. The current Interest Coverage is 43.71, which is 26% above median its 10-year median of 34.62 and 417.6% above the Vehicles & Parts industry median of 8.45. Shenzhen VMAX New Energy Group Co's overall GF Score™ is 95/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Interest Coverage calculated?
Interest Coverage is calculated from a company's financial statements. For Shenzhen VMAX New Energy Group Co (SHSE:688612), the current Interest Coverage is 43.71 as of Jun. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Shenzhen VMAX New Energy Group Co (SHSE:688612) Overvalued in 2026?

Based on GuruFocus' analysis, Shenzhen VMAX New Energy Group Co stock appears to be overvalued. The current stock price of ¥38.78 is trading 17% above its estimated GF Value™ of ¥33.15. GuruFocus considers Shenzhen VMAX New Energy Group Co to be Modestly Overvalued.

Key valuation signals for SHSE:688612:

  • Interest Coverage: 43.71 (26% above median its 10-year median of 34.62)
  • GF Value™: ¥33.15 vs. price of ¥38.78 (17% above fair value)
  • GF Score™: 95/100 with 5 warning signs
  • Industry Position: 417.6% above the Vehicles & Parts median (#76 of 1050)

No single metric tells the full story. See the SHSE:688612 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Shenzhen VMAX New Energy Group Co Business Description

Address Fifth Industrial Zone, Beihuan Road, One of 501, Fengyun Technology Building, Nanshan, Guangdong, Shenzhen, CHN, 518000
Shenzhen VMAX New Energy Group Co Ltd is engaged in Research and development, production, sales and technical services of power electronic products related to new energy vehicles. VMAX works with many automobile manufacturers to provide customers with high-quality automotive power domain products and efficient solutions, including but not limited to OBCs, DCDCs, inverters, gearboxes, Electric Vehicle Communication Controller (EVCC), Wireless Electric Vehicle Charging (WEVC) and so on.
95GF Score

Get the complete analysis for SHSE:688612

Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

¥38.78
Price
¥33.15
GF Value