Denka Co (FRA:DIK) Debt-to-EBITDA : 1.29 (As of Mar. 2026) — 50% Below Median

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FRA:DIK Denka Co Ltd FRA:DIK
60 GF Score
Price €19.80
GF Value €12.34
Valuation Significantly Overvalued
! 6 Warning Signs
View Full Analysis

What is Denka Co Debt-to-EBITDA?

Denka Co FRA:DIK +1.02% 60 Debt-to-EBITDA is 1.29 as of Mar. 2026, which is 50% below its 10-year median of 2.59. GuruFocus rates FRA:DIK with a GF Score™ of 60/100 and a GF Value™ of €12.34 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 1,234 Chemicals companies, Denka Co ranks worse than 70.34% on this metric.

Debt-to-EBITDA measures a company's ability to pay off its debt.

Denka Co's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2026 was €474 Mil. Denka Co's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2026 was €735 Mil. Denka Co's annualized EBITDA for the quarter that ended in Mar. 2026 was €934 Mil. Denka Co's annualized Debt-to-EBITDA for the quarter that ended in Mar. 2026 was 1.29.

A high Debt-to-EBITDA ratio generally means that a company may spend more time to paying off its debt. According to Joel Tillinghast's BIG MONEY THINKS SMALL: Biases, Blind Spots, and Smarter Investing, a ratio of Debt-to-EBITDA exceeding four is usually considered scary unless tangible assets cover the debt.

The historical rank and industry rank for Denka Co's Debt-to-EBITDA or its related term are showing as below:

FRA:DIK' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 1.97   Med: 2.59   Max: 16.92
Current: 4.21

During the past 13 years, the highest Debt-to-EBITDA Ratio of Denka Co was 16.92. The lowest was 1.97. And the median was 2.59.

FRA:DIK's Debt-to-EBITDA is ranked worse than
70.34% of 1234 companies
in the Chemicals industry
Industry Median: 2.155 vs FRA:DIK: 4.21

Denka Co  (FRA:DIK) Debt-to-EBITDA Explanation

In the calculation of Debt-to-EBITDA, we use the total of Short-Term Debt & Capital Lease Obligation and Long-Term Debt & Capital Lease Obligation divided by EBITDA. In some calculations, Total Liabilities is used to for calculation.


Be Aware

A high Debt-to-EBITDA ratio generally means that a company may spend more time to paying off its debt.

According to Joel Tillinghast's BIG MONEY THINKS SMALL: Biases, Blind Spots, and Smarter Investing, a ratio of Debt-to-EBITDA exceeding four is usually considered scary unless tangible assets cover the debt.


Denka Co Debt-to-EBITDA Related Terms


Denka Co Debt-to-EBITDA Historical Data

* Premium members only.

The historical data trend for Denka Co's Debt-to-EBITDA 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.

Denka Co Debt-to-EBITDA Chart

Denka Co Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Debt-to-EBITDA
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.31 3.97 4.05 16.92 4.21

Denka Co Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Debt-to-EBITDA 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 7.25 6.73 3.99 -4.58 1.29

FRA:DIK vs DOW: Debt-to-EBITDA Comparison

For the Chemicals subindustry, Denka Co's Debt-to-EBITDA, along with its competitors' market caps and Debt-to-EBITDA 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.


Denka Co Debt-to-EBITDA vs Chemicals Industry

For the Chemicals industry and Basic Materials sector, Denka Co's Debt-to-EBITDA distribution charts can be found below:

* The bar in red indicates where Denka Co's Debt-to-EBITDA falls into.


FRA:DIK
60GF Score
Denka Co Ltd FRA:DIK
Debt-to-EBITDA is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Denka Co Debt-to-EBITDA Calculation

Debt-to-EBITDA measures a company's ability to pay off its debt.

Denka Co's Debt-to-EBITDA for the fiscal year that ended in Mar. 2026 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(473.959 + 734.627) / 286.871
=4.21

Denka Co's annualized Debt-to-EBITDA for the quarter that ended in Mar. 2026 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(473.959 + 734.627) / 933.864
=1.29

* 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.

In the calculation of annual Debt-to-EBITDA, the EBITDA of the last fiscal year is used. In calculating the annualized quarterly data, the EBITDA data used here is four times the quarterly (Mar. 2026) EBITDA data.

Frequently Asked Questions Learn more about Debt-to-EBITDA →
What does a Debt-to-EBITDA of 1.29 mean?
Denka Co (FRA:DIK) has a Debt-to-EBITDA of 1.29 as of Mar. 2026. Debt-to-EBITDA ratio represents the ratio of total debt to total earnings before interest, taxes, depreciation and amortization. View historical data on Denka Co. This is 50% below median its historical median of 2.59. Over the past decade, Denka Co's Debt-to-EBITDA has ranged from 1.97 to 16.92. According to the industry distribution chart, Denka Co ranks #868 out of 1234 companies in the Chemicals industry, placing it in the top 70.3%.
Is Denka Co's Debt-to-EBITDA too high?
Denka Co's current Debt-to-EBITDA of 1.29 is 50% below median its 10-year median of 2.59. Over the past 10 years, this metric has ranged from a low of 1.97 to a high of 16.92. The Chemicals industry median Debt-to-EBITDA is 2.16. Denka Co's value of 1.29 is 40.1% below this industry median. Based on the distribution chart, Denka Co ranks #868 out of 1234 companies in the Chemicals industry, which is below the industry midpoint. Overall, Denka Co has a GF Score™ of 60/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Denka Co's Debt-to-EBITDA compare to DOW?
According to the Chemicals industry distribution chart, Denka Co ranks #868 out of 1234 companies for Debt-to-EBITDA. This places Denka Co in the lower half of its industry. The industry median Debt-to-EBITDA is 2.16. Denka Co's value of 1.29 is 40.1% below this benchmark. Historically, Denka Co's own Debt-to-EBITDA has ranged from 1.97 to 16.92 over the past decade. While the company's 10-year median is 2.59 vs. the industry median of 2.16, Denka 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 Debt-to-EBITDA for a Chemicals company?
The median Debt-to-EBITDA among Chemicals companies is 2.16, based on 1,234 companies in the industry. Companies in the top quartile (top 25%) have a Debt-to-EBITDA significantly above this median, while those in the bottom quartile fall well below. However, Debt-to-EBITDA should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Denka Co's current Debt-to-EBITDA of 1.29 is 40.1% 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 Debt-to-EBITDA mean?
A high Debt-to-EBITDA can signal that a stock is expensive relative to its fundamentals. Debt-to-EBITDA ratio represents the ratio of total debt to total earnings before interest, taxes, depreciation and amortization. View historical data on Denka Co. For the Chemicals industry, the median Debt-to-EBITDA is 2.16 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Denka Co's current Debt-to-EBITDA is 1.29, which is 50% below median its own 10-year median of 2.59. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Denka Co stock overvalued right now?
Based on GuruFocus' analysis, Denka Co (FRA:DIK) is currently considered Significantly Overvalued. The stock's GF Value™ is €12.34, compared to a current price of €19.80 — trading 60.5% above its estimated fair value. The current Debt-to-EBITDA is 1.29, which is 50% below median its 10-year median of 2.59 and 40.1% below the Chemicals industry median of 2.16. Denka Co's overall GF Score™ is 60/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Debt-to-EBITDA calculated?
Debt-to-EBITDA is calculated from a company's financial statements. For Denka Co (FRA:DIK), the current Debt-to-EBITDA is 1.29 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 Denka Co (FRA:DIK) Overvalued in 2026?

Based on GuruFocus' analysis, Denka Co stock appears to be overvalued. The current stock price of €19.80 is trading 60.5% above its estimated GF Value™ of €12.34. GuruFocus considers Denka Co to be Significantly Overvalued.

Key valuation signals for FRA:DIK:

  • Debt-to-EBITDA: 1.29 (50% below median its 10-year median of 2.59)
  • GF Value™: €12.34 vs. price of €19.80 (60.5% above fair value)
  • GF Score™: 60/100 with 6 warning signs
  • Industry Position: 40.1% below the Chemicals median (#868 of 1234)

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


Denka Co Business Description

Other Exchanges 4061:JapanDIK:Germany
Address Nihonbashi Mitsui Tower, 1-1, Nihonbashi-Muromachi, 2-Chome Chuo-ku, Tokyo, JPN, 103-8338
Denka Co Ltd manufactures and sells chemicals, plastics, and chemical-based products. The firm organizes itself into four segments based on product type. The elastomers and performance plastics segment, which generates more revenue than any other segment, sells rubber products used by the automotive industry and plastics used to manufacture electronics including televisions. The infrastructure and social solutions segment sells cement and fertilizer to the construction and building industries. The electronics and innovative products segment sells film, and resins used by the electronics industry. The life science and environment products segment sells housing materials including rain gutters, plastic food packaging materials, and industrial materials including electrical tape.
60GF Score

Get the complete analysis for FRA:DIK

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

€19.80
Price
€12.34
GF Value