Tokai Soft Co (NGO:4430) Debt-to-EBITDA : 1.77 (As of Feb. 2026) — 72% Above Median

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NGO:4430 Tokai Soft Co Ltd NGO:4430
86 GF Score
Price 円943.00
GF Value 円1,096.06
View Full Analysis

What is Tokai Soft Co Debt-to-EBITDA?

Tokai Soft Co NGO:4430 86 Debt-to-EBITDA is 1.77 as of Feb. 2026, which is 72% above its 10-year median of 1.03. GuruFocus rates NGO:4430 with a GF Score™ of 86/100 and a GF Value™ of 円1,096.06. Among 1,728 Software companies, Tokai Soft Co ranks better than 52.6% on this metric.

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

Tokai Soft Co's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Feb. 2026 was 円776 Mil. Tokai Soft Co's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Feb. 2026 was 円1,124 Mil. Tokai Soft Co's annualized EBITDA for the quarter that ended in Feb. 2026 was 円1,071 Mil. Tokai Soft Co's annualized Debt-to-EBITDA for the quarter that ended in Feb. 2026 was 1.77.

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 Tokai Soft Co's Debt-to-EBITDA or its related term are showing as below:

NGO:4430' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 0.34   Med: 1.03   Max: 2.87
Current: 0.92

During the past 10 years, the highest Debt-to-EBITDA Ratio of Tokai Soft Co was 2.87. The lowest was 0.34. And the median was 1.03.

NGO:4430's Debt-to-EBITDA is ranked better than
52.6% of 1728 companies
in the Software industry
Industry Median: 1.03 vs NGO:4430: 0.92

Tokai Soft Co  (NGO:4430) 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.


Tokai Soft Co Debt-to-EBITDA Related Terms


Tokai Soft Co Debt-to-EBITDA Historical Data

* Premium members only.

The historical data trend for Tokai Soft 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.

Tokai Soft Co Debt-to-EBITDA Chart

Tokai Soft Co Annual Data
Trend May17 May18 May19 May20 May21 May22 May23 May24 May25 May26
Debt-to-EBITDA
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.14 1.42 0.94 1.81 0.92

Tokai Soft Co Quarterly Data
Feb21 May21 Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24 May24 Nov24 May25 Aug25 Nov25 Feb26 May26
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 N/A 1.54 0.85 1.77 0.75

NGO:4430 vs MSFT, ORCL, PLTR: Debt-to-EBITDA Comparison

For the Software - Infrastructure subindustry, Tokai Soft 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.


Tokai Soft Co Debt-to-EBITDA vs Software Industry

For the Software industry and Technology sector, Tokai Soft Co's Debt-to-EBITDA distribution charts can be found below:

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


NGO:4430
86GF Score
Tokai Soft Co Ltd NGO:4430
Debt-to-EBITDA is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Tokai Soft Co Debt-to-EBITDA Calculation

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

Tokai Soft Co's Debt-to-EBITDA for the fiscal year that ended in May. 2026 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(590.006 + 984.728) / 1705.735
=0.92

Tokai Soft Co's annualized Debt-to-EBITDA for the quarter that ended in Feb. 2026 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(776.283 + 1123.774) / 1070.8
=1.77

* 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 (Feb. 2026) EBITDA data.

Frequently Asked Questions Learn more about Debt-to-EBITDA →
What does a Debt-to-EBITDA of 1.77 mean?
Tokai Soft Co (NGO:4430) has a Debt-to-EBITDA of 1.77 as of Feb. 2026. Debt-to-EBITDA ratio represents the ratio of total debt to total earnings before interest, taxes, depreciation and amortization. View historical data on Tokai Soft Co. This is 72% above median its historical median of 1.03. Over the past decade, Tokai Soft Co's Debt-to-EBITDA has ranged from 0.34 to 2.87. According to the industry distribution chart, Tokai Soft Co ranks #819 out of 1728 companies in the Software industry, placing it in the top 47.4%.
Is Tokai Soft Co's Debt-to-EBITDA too high?
Tokai Soft Co's current Debt-to-EBITDA of 1.77 is 72% above median its 10-year median of 1.03. Over the past 10 years, this metric has ranged from a low of 0.34 to a high of 2.87. The Software industry median Debt-to-EBITDA is 1.03. Tokai Soft Co's value of 1.77 is 71.8% above this industry median. Based on the distribution chart, Tokai Soft Co ranks #819 out of 1728 companies in the Software industry, which is above the industry midpoint. Overall, Tokai Soft Co has a GF Score™ of 86/100, reflecting its overall financial health beyond just this single metric.
How does Tokai Soft Co's Debt-to-EBITDA compare to MSFT and ORCL?
According to the Software industry distribution chart, Tokai Soft Co ranks #819 out of 1728 companies for Debt-to-EBITDA. This puts Tokai Soft Co in the upper half of its industry. The industry median Debt-to-EBITDA is 1.03. Tokai Soft Co's value of 1.77 is 71.8% above this benchmark. Historically, Tokai Soft Co's own Debt-to-EBITDA has ranged from 0.34 to 2.87 over the past decade. While the company's 10-year median is 1.03 vs. the industry median of 1.03, Tokai Soft 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 Debt-to-EBITDA for a Software company?
The median Debt-to-EBITDA among Software companies is 1.03, based on 1,728 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. Tokai Soft Co's current Debt-to-EBITDA of 1.77 is 71.8% 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 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 Tokai Soft Co. For the Software industry, the median Debt-to-EBITDA is 1.03 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Tokai Soft Co's current Debt-to-EBITDA is 1.77, which is 72% above median its own 10-year median of 1.03. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Tokai Soft Co stock overvalued right now?
Tokai Soft Co (NGO:4430) has a current Debt-to-EBITDA of 1.77. The stock's GF Value™ is 円1,096.06, compared to a current price of 円943.00 — trading 14% below its estimated fair value. The current Debt-to-EBITDA is 1.77, which is 72% above median its 10-year median of 1.03 and 71.8% above the Software industry median of 1.03. Tokai Soft Co's overall GF Score™ is 86/100. 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 Tokai Soft Co (NGO:4430), the current Debt-to-EBITDA is 1.77 as of Feb. 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 Tokai Soft Co (NGO:4430) Overvalued in 2026?

Based on GuruFocus' analysis, Tokai Soft Co stock appears to be undervalued. The current stock price of 円943.00 is trading 14% below its estimated GF Value™ of 円1,096.06.

Key valuation signals for NGO:4430:

  • Debt-to-EBITDA: 1.77 (72% above median its 10-year median of 1.03)
  • GF Value™: 円1,096.06 vs. price of 円943.00 (14% below fair value)
  • GF Score™: 86/100
  • Industry Position: 71.8% above the Software median (#819 of 1728)

No single metric tells the full story. See the NGO:4430 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Tokai Soft Co Business Description

Other Exchanges 4430:Japan
Address 2-16-1 Noritake, Nakamura-ku, Nagoya, JPN, 451-0043
Tokai Soft Co Ltd provides software solutions. The company is engaged in a wide range of businesses as an engineering company that combines technologies for total system construction, network and solution solutions, and support technologies that provide stable operation.
86GF Score

Get the complete analysis for NGO:4430

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

円943.00
Price
円1,096.06
GF Value