Wuxi Smart Auto-control Engineering Co (SZSE:002877) Interest Coverage: 2.88 (As of Mar. 2026) — 81% Below Median

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SZSE:002877 Wuxi Smart Auto-control Engineering Co Ltd SZSE:002877
85 GF Score
Price ¥7.37
GF Value ¥9.07
Valuation Modestly Undervalued
! 7 Warning Signs
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What is Wuxi Smart Auto-control Engineering Co Interest Coverage?

Wuxi Smart Auto-control Engineering Co SZSE:002877 -2.12% 85 Interest Coverage is 2.88 as of Mar. 2026, which is 81% below its 10-year median of 14.87. GuruFocus rates SZSE:002877 with a GF Score™ of 85/100 and a GF Value™ of ¥9.07 (Modestly Undervalued). The stock has 7 warning signs investors should review. Among 2,342 Industrial Products companies, Wuxi Smart Auto-control Engineering Co ranks worse than 82.79% 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. Wuxi Smart Auto-control Engineering Co's Operating Income for the three months ended in Mar. 2026 was ¥12 Mil. Wuxi Smart Auto-control Engineering Co's Interest Expense for the three months ended in Mar. 2026 was ¥-4 Mil. Wuxi Smart Auto-control Engineering Co's interest coverage for the quarter that ended in Mar. 2026 was 2.88. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Wuxi Smart Auto-control Engineering Co's Interest Coverage or its related term are showing as below:

SZSE:002877' s Interest Coverage Range Over the Past 10 Years
Min: 2.66   Med: 14.87   Max: 213.67
Current: 2.87


SZSE:002877's Interest Coverage is ranked worse than
82.79% of 2342 companies
in the Industrial Products industry
Industry Median: 14.73 vs SZSE:002877: 2.87

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


Wuxi Smart Auto-control Engineering Co  (SZSE:002877) 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 .


Wuxi Smart Auto-control Engineering Co Interest Coverage Related Terms


Wuxi Smart Auto-control Engineering Co Interest Coverage Historical Data

* Premium members only.

The historical data trend for Wuxi Smart Auto-control Engineering 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.

Wuxi Smart Auto-control Engineering Co Interest Coverage Chart

Wuxi Smart Auto-control Engineering 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 8.66 5.77 213.67 47.75 2.66

Wuxi Smart Auto-control Engineering Co Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
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 1.95 0.00 0.64 0.00 2.88

SZSE:002877 vs GEV, ETN, PH: Interest Coverage Comparison

For the Specialty Industrial Machinery subindustry, Wuxi Smart Auto-control Engineering 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.


Wuxi Smart Auto-control Engineering Co Interest Coverage vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, Wuxi Smart Auto-control Engineering Co's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Wuxi Smart Auto-control Engineering Co's Interest Coverage falls into.


SZSE:002877
85GF Score
Wuxi Smart Auto-control Engineering Co Ltd SZSE:002877
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Wuxi Smart Auto-control Engineering 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.

Wuxi Smart Auto-control Engineering 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, Wuxi Smart Auto-control Engineering Co's Interest Expense was ¥-30 Mil. Its Operating Income was ¥81 Mil. And its Long-Term Debt & Capital Lease Obligation was ¥112 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*80.732/-30.387
=2.66

Wuxi Smart Auto-control Engineering Co's Interest Coverage for the quarter that ended in Mar. 2026 is calculated as

Here, for the three months ended in Mar. 2026, Wuxi Smart Auto-control Engineering Co's Interest Expense was ¥-4 Mil. Its Operating Income was ¥12 Mil. And its Long-Term Debt & Capital Lease Obligation was ¥115 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*12.007/-4.17
=2.88

* 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 2.88 mean?
Wuxi Smart Auto-control Engineering Co (SZSE:002877) has a Interest Coverage of 2.88 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Wuxi Smart Auto-control Engineering Co and its competitors. This is 81% below median its historical median of 14.87. Over the past decade, Wuxi Smart Auto-control Engineering Co's Interest Coverage has ranged from 2.66 to 213.67. According to the industry distribution chart, Wuxi Smart Auto-control Engineering Co ranks #1939 out of 2342 companies in the Industrial Products industry, placing it in the top 82.8%.
Is Wuxi Smart Auto-control Engineering Co's Interest Coverage too high?
Wuxi Smart Auto-control Engineering Co's current Interest Coverage of 2.88 is 81% below median its 10-year median of 14.87. Over the past 10 years, this metric has ranged from a low of 2.66 to a high of 213.67. The Industrial Products industry median Interest Coverage is 14.73. Wuxi Smart Auto-control Engineering Co's value of 2.88 is 80.4% below this industry median. Based on the distribution chart, Wuxi Smart Auto-control Engineering Co ranks #1939 out of 2342 companies in the Industrial Products industry, which is in the bottom quartile relative to peers. Overall, Wuxi Smart Auto-control Engineering Co has a GF Score™ of 85/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Wuxi Smart Auto-control Engineering Co's Interest Coverage compare to GEV and ETN?
According to the Industrial Products industry distribution chart, Wuxi Smart Auto-control Engineering Co ranks #1939 out of 2342 companies for Interest Coverage. This places Wuxi Smart Auto-control Engineering Co in the lower half of its industry. The industry median Interest Coverage is 14.73. Wuxi Smart Auto-control Engineering Co's value of 2.88 is 80.4% below this benchmark. Historically, Wuxi Smart Auto-control Engineering Co's own Interest Coverage has ranged from 2.66 to 213.67 over the past decade. While the company's 10-year median is 14.87 vs. the industry median of 14.73, Wuxi Smart Auto-control Engineering Co has consistently been below 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 an Industrial Products company?
The median Interest Coverage among Industrial Products companies is 14.73, based on 2,342 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. Wuxi Smart Auto-control Engineering Co's current Interest Coverage of 2.88 is 80.4% below 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 Wuxi Smart Auto-control Engineering Co and its competitors. For the Industrial Products industry, the median Interest Coverage is 14.73 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Wuxi Smart Auto-control Engineering Co's current Interest Coverage is 2.88, which is 81% below median its own 10-year median of 14.87. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Wuxi Smart Auto-control Engineering Co stock overvalued right now?
Based on GuruFocus' analysis, Wuxi Smart Auto-control Engineering Co (SZSE:002877) is currently considered Modestly Undervalued. The stock's GF Value™ is ¥9.07, compared to a current price of ¥7.37 — trading 18.7% below its estimated fair value. The current Interest Coverage is 2.88, which is 81% below median its 10-year median of 14.87 and 80.4% below the Industrial Products industry median of 14.73. Wuxi Smart Auto-control Engineering Co's overall GF Score™ is 85/100 with 7 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 Wuxi Smart Auto-control Engineering Co (SZSE:002877), the current Interest Coverage is 2.88 as of Mar. 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 Wuxi Smart Auto-control Engineering Co (SZSE:002877) Overvalued in 2026?

Based on GuruFocus' analysis, Wuxi Smart Auto-control Engineering Co stock appears to be undervalued. The current stock price of ¥7.37 is trading 18.7% below its estimated GF Value™ of ¥9.07. GuruFocus considers Wuxi Smart Auto-control Engineering Co to be Modestly Undervalued.

Key valuation signals for SZSE:002877:

  • Interest Coverage: 2.88 (81% below median its 10-year median of 14.87)
  • GF Value™: ¥9.07 vs. price of ¥7.37 (18.7% below fair value)
  • GF Score™: 85/100 with 7 warning signs
  • Industry Position: 80.4% below the Industrial Products median (#1939 of 2342)

No single metric tells the full story. See the SZSE:002877 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Wuxi Smart Auto-control Engineering Co Business Description

Address No. 258 Xida Road, Meicun Wuxi New District, Jiangsu, Wuxi, CHN, 214112
Wuxi Smart Auto-control Engineering Co Ltd is engaged in the research and development, manufacturing, sales and service of intelligent control valves in the field of industrial process control. It offers customers with industrial solution control valve solutions under various working conditions. The product portfolio of the company includes P/J series single seat valve, R series ball valve, F series anti-corrosion, W series butterfly valve, T series three-way valve, Z series special valve, Y series self-operated valve, and Q series pneumatic actuator. The company's products and technologies are used in petroleum, chemical, steel, metallurgy, textile, energy, electricity, food, environmental protection and other industries.
85GF Score

Get the complete analysis for SZSE:002877

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

¥7.37
Price
¥9.07
GF Value