China Motor (TPE:2204) Interest Coverage: 10.49 (As of Dec. 2025) — 93% Below Median


TPE:2204 China Motor Corp TPE:2204
73 GF Score
Price NT$57.00
GF Value NT$67.49
Valuation Modestly Undervalued
! 12 Warning Signs
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What is China Motor Interest Coverage?

China Motor TPE:2204 -1.04% 73 Interest Coverage is 10.49 as of Dec. 2025, which is 93% below its 10-year median of 156.16. GuruFocus rates TPE:2204 with a GF Score™ of 73/100 and a GF Value™ of NT$67.49 (Modestly Undervalued). The stock has 12 warning signs investors should review. Among 1,067 Vehicles & Parts companies, China Motor ranks better than 69.26% 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. China Motor's Operating Income for the three months ended in Dec. 2025 was NT$176 Mil. China Motor's Interest Expense for the three months ended in Dec. 2025 was NT$-17 Mil. China Motor's interest coverage for the quarter that ended in Dec. 2025 was 10.49. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for China Motor's Interest Coverage or its related term are showing as below:

TPE:2204' s Interest Coverage Range Over the Past 10 Years
Min: 21.42   Med: 156.16   Max: 396.36
Current: 21.42


TPE:2204's Interest Coverage is ranked better than
69.26% of 1067 companies
in the Vehicles & Parts industry
Industry Median: 8.41 vs TPE:2204: 21.42

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


China Motor  (TPE:2204) 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 .


China Motor Interest Coverage Related Terms


China Motor Interest Coverage Historical Data

* Premium members only.

The historical data trend for China Motor'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.

China Motor Interest Coverage Chart

China Motor 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 197.93 242.97 396.36 120.00 21.42

China Motor Quarterly Data
Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25
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 0.00 13.38 38.21 27.73 10.49

TPE:2204 vs TSLA, GM, F: Interest Coverage Comparison

For the Auto Manufacturers subindustry, China Motor'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.


China Motor Interest Coverage vs Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, China Motor's Interest Coverage distribution charts can be found below:

* The bar in red indicates where China Motor's Interest Coverage falls into.


TPE:2204
73GF Score
China Motor Corp TPE:2204
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

China Motor 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.

China Motor'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, China Motor's Interest Expense was NT$-53 Mil. Its Operating Income was NT$1,133 Mil. And its Long-Term Debt & Capital Lease Obligation was NT$262 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*1132.893/-52.89
=21.42

China Motor's Interest Coverage for the quarter that ended in Dec. 2025 is calculated as

Here, for the three months ended in Dec. 2025, China Motor's Interest Expense was NT$-17 Mil. Its Operating Income was NT$176 Mil. And its Long-Term Debt & Capital Lease Obligation was NT$262 Mil.

Interest Coverage=-1* Operating Income (Q: Dec. 2025 )/Interest Expense (Q: Dec. 2025 )
=-1*176.057/-16.78
=10.49

* 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 10.49 mean?
China Motor (TPE:2204) has a Interest Coverage of 10.49 as of Dec. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on China Motor and its competitors. This is 93% below median its historical median of 156.16. Over the past decade, China Motor's Interest Coverage has ranged from 21.42 to 396.36. According to the industry distribution chart, China Motor ranks #328 out of 1067 companies in the Vehicles & Parts industry, placing it in the top 30.7%.
Is China Motor's Interest Coverage too high?
China Motor's current Interest Coverage of 10.49 is 93% below median its 10-year median of 156.16. Over the past 10 years, this metric has ranged from a low of 21.42 to a high of 396.36. The Vehicles & Parts industry median Interest Coverage is 8.41. China Motor's value of 10.49 is 24.7% above this industry median. Based on the distribution chart, China Motor ranks #328 out of 1067 companies in the Vehicles & Parts industry, which is above the industry midpoint. Overall, China Motor has a GF Score™ of 73/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does China Motor's Interest Coverage compare to TSLA and GM?
According to the Vehicles & Parts industry distribution chart, China Motor ranks #328 out of 1067 companies for Interest Coverage. This puts China Motor in the upper half of its industry. The industry median Interest Coverage is 8.41. China Motor's value of 10.49 is 24.7% above this benchmark. Historically, China Motor's own Interest Coverage has ranged from 21.42 to 396.36 over the past decade. While the company's 10-year median is 156.16 vs. the industry median of 8.41, China Motor 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 8.41, based on 1,067 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. China Motor's current Interest Coverage of 10.49 is 24.7% 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 China Motor and its competitors. For the Vehicles & Parts industry, the median Interest Coverage is 8.41 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. China Motor's current Interest Coverage is 10.49, which is 93% below median its own 10-year median of 156.16. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is China Motor stock overvalued right now?
Based on GuruFocus' analysis, China Motor (TPE:2204) is currently considered Modestly Undervalued. The stock's GF Value™ is NT$67.49, compared to a current price of NT$57.00 — trading 15.5% below its estimated fair value. The current Interest Coverage is 10.49, which is 93% below median its 10-year median of 156.16 and 24.7% above the Vehicles & Parts industry median of 8.41. China Motor's overall GF Score™ is 73/100 with 12 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 China Motor (TPE:2204), the current Interest Coverage is 10.49 as of Dec. 2025. 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 China Motor (TPE:2204) Overvalued in 2026?

Based on GuruFocus' analysis, China Motor stock appears to be undervalued. The current stock price of NT$57.00 is trading 15.5% below its estimated GF Value™ of NT$67.49. GuruFocus considers China Motor to be Modestly Undervalued.

Key valuation signals for TPE:2204:

  • Interest Coverage: 10.49 (93% below median its 10-year median of 156.16)
  • GF Value™: NT$67.49 vs. price of NT$57.00 (15.5% below fair value)
  • GF Score™: 73/100 with 12 warning signs
  • Industry Position: 24.7% above the Vehicles & Parts median (#328 of 1067)

No single metric tells the full story. See the TPE:2204 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


China Motor Business Description

Address No. 618, Xiucai Road, Yangmei District, Taoyuan, TWN, 326
China Motor Corp is engaged in the manufacture and sale of automobiles and their related parts and components. Its products are Sedan, RVs, LCVs, trucks, EVs, Electric scooters, and AGVs. Its reportable segments were vehicle manufacturing, channel, and others. It generates the majority of its revenue from the Vehicle manufacturing segment.
73GF Score

Get the complete analysis for TPE:2204

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

NT$57.00
Price
NT$67.49
GF Value