Highwealth Construction (TPE:2542) Interest Coverage: 18.68 (As of Dec. 2025) — 90% Above Median


TPE:2542 Highwealth Construction Corp TPE:2542
79 GF Score
Price NT$42.35
GF Value NT$37.12
Valuation Modestly Overvalued
! 12 Warning Signs
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What is Highwealth Construction Interest Coverage?

Highwealth Construction TPE:2542 -1.63% 79 Interest Coverage is 18.68 as of Dec. 2025, which is 90% above its 10-year median of 9.83. GuruFocus rates TPE:2542 with a GF Score™ of 79/100 and a GF Value™ of NT$37.12 (Modestly Overvalued). The stock has 12 warning signs investors should review. Among 1,299 Real Estate companies, Highwealth Construction ranks better than 70.52% 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. Highwealth Construction's Operating Income for the three months ended in Dec. 2025 was NT$4,568 Mil. Highwealth Construction's Interest Expense for the three months ended in Dec. 2025 was NT$-245 Mil. Highwealth Construction's interest coverage for the quarter that ended in Dec. 2025 was 18.68. The higher the ratio, the stronger the company's financial strength is.

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

TPE:2542' s Interest Coverage Range Over the Past 10 Years
Min: 3.72   Med: 9.83   Max: 15.16
Current: 10.74


TPE:2542's Interest Coverage is ranked better than
70.52% of 1299 companies
in the Real Estate industry
Industry Median: 4.24 vs TPE:2542: 10.74

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


Highwealth Construction  (TPE:2542) 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 .


Highwealth Construction Interest Coverage Related Terms


Highwealth Construction Interest Coverage Historical Data

* Premium members only.

The historical data trend for Highwealth Construction'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.

Highwealth Construction Interest Coverage Chart

Highwealth Construction 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 9.84 5.62 9.82 13.46 10.74

Highwealth Construction 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 18.94 0.00 3.70 12.54 18.68

Highwealth Construction Interest Coverage Competitor Comparison

For the Real Estate - Development subindustry, Highwealth Construction'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.


Highwealth Construction Interest Coverage vs Real Estate Industry

For the Real Estate industry and Real Estate sector, Highwealth Construction's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Highwealth Construction's Interest Coverage falls into.


TPE:2542
79GF Score
Highwealth Construction Corp TPE:2542
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Highwealth Construction 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.

Highwealth Construction'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, Highwealth Construction's Interest Expense was NT$-598 Mil. Its Operating Income was NT$6,431 Mil. And its Long-Term Debt & Capital Lease Obligation was NT$25,438 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*6430.529/-598.487
=10.74

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

Here, for the three months ended in Dec. 2025, Highwealth Construction's Interest Expense was NT$-245 Mil. Its Operating Income was NT$4,568 Mil. And its Long-Term Debt & Capital Lease Obligation was NT$25,438 Mil.

Interest Coverage=-1* Operating Income (Q: Dec. 2025 )/Interest Expense (Q: Dec. 2025 )
=-1*4567.56/-244.526
=18.68

* 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 18.68 mean?
Highwealth Construction (TPE:2542) has a Interest Coverage of 18.68 as of Dec. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Highwealth Construction and its competitors. This is 90% above median its historical median of 9.83. Over the past decade, Highwealth Construction's Interest Coverage has ranged from 3.72 to 15.16. According to the industry distribution chart, Highwealth Construction ranks #383 out of 1299 companies in the Real Estate industry, placing it in the top 29.5%.
Is Highwealth Construction's Interest Coverage too high?
Highwealth Construction's current Interest Coverage of 18.68 is 90% above median its 10-year median of 9.83. Over the past 10 years, this metric has ranged from a low of 3.72 to a high of 15.16. The Real Estate industry median Interest Coverage is 4.24. Highwealth Construction's value of 18.68 is 340.6% above this industry median. Based on the distribution chart, Highwealth Construction ranks #383 out of 1299 companies in the Real Estate industry, which is above the industry midpoint. Overall, Highwealth Construction has a GF Score™ of 79/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Highwealth Construction's Interest Coverage compare to competitors?
According to the Real Estate industry distribution chart, Highwealth Construction ranks #383 out of 1299 companies for Interest Coverage. This puts Highwealth Construction in the upper half of its industry. The industry median Interest Coverage is 4.24. Highwealth Construction's value of 18.68 is 340.6% above this benchmark. Historically, Highwealth Construction's own Interest Coverage has ranged from 3.72 to 15.16 over the past decade. While the company's 10-year median is 9.83 vs. the industry median of 4.24, Highwealth Construction 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 Real Estate company?
The median Interest Coverage among Real Estate companies is 4.24, based on 1,299 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. Highwealth Construction's current Interest Coverage of 18.68 is 340.6% 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 Highwealth Construction and its competitors. For the Real Estate industry, the median Interest Coverage is 4.24 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Highwealth Construction's current Interest Coverage is 18.68, which is 90% above median its own 10-year median of 9.83. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Highwealth Construction stock overvalued right now?
Based on GuruFocus' analysis, Highwealth Construction (TPE:2542) is currently considered Modestly Overvalued. The stock's GF Value™ is NT$37.12, compared to a current price of NT$42.35 — trading 14.1% above its estimated fair value. The current Interest Coverage is 18.68, which is 90% above median its 10-year median of 9.83 and 340.6% above the Real Estate industry median of 4.24. Highwealth Construction's overall GF Score™ is 79/100 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 Highwealth Construction (TPE:2542), the current Interest Coverage is 18.68 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 Highwealth Construction (TPE:2542) Overvalued in 2026?

Based on GuruFocus' analysis, Highwealth Construction stock appears to be overvalued. The current stock price of NT$42.35 is trading 14.1% above its estimated GF Value™ of NT$37.12. GuruFocus considers Highwealth Construction to be Modestly Overvalued.

Key valuation signals for TPE:2542:

  • Interest Coverage: 18.68 (90% above median its 10-year median of 9.83)
  • GF Value™: NT$37.12 vs. price of NT$42.35 (14.1% above fair value)
  • GF Score™: 79/100 with 12 warning signs
  • Industry Position: 340.6% above the Real Estate median (#383 of 1299)

No single metric tells the full story. See the TPE:2542 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Highwealth Construction Business Description

Address No.267, Lequn 2nd Road, 10th Floor, Zhongshan District, Taipei, TWN, 10491
Highwealth Construction Corp is engaged in the business of construction sales, and leasing of residential and commercial buildings. Geographically the activities are carried out in Taiwan. The firm has three segments: Developing; Constructing, Hotel and other divisions. The developing segment that derives the majority of revenue is responsible for developing new construction or rental opportunities. Constructing segment is responsible for constructing buildings. Department stores and hotel segment operates hotels, catering services, and other business operations. The Groups revenues are all generated from domestic business.
79GF Score

Get the complete analysis for TPE:2542

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

NT$42.35
Price
NT$37.12
GF Value