Palma Co (TSE:3461) Debt-to-EBITDA : 3.76 (As of Mar. 2026) — 16% Below Median

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

TSE:3461 Palma Co Ltd TSE:3461
55 GF Score
Price 円627.00
GF Value 円362.08
Valuation Significantly Overvalued
! 5 Warning Signs
View Full Analysis

What is Palma Co Debt-to-EBITDA?

Palma Co TSE:3461 -0.48% 55 Debt-to-EBITDA is 3.76 as of Mar. 2026, which is 16% below its 10-year median of 4.45. GuruFocus rates TSE:3461 with a GF Score™ of 55/100 and a GF Value™ of 円362.08 (Significantly Overvalued). The stock has 5 warning signs investors should review. Among 835 Business Services companies, Palma Co ranks worse than 76.53% on this metric.

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

Palma Co's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2026 was 円262 Mil. Palma Co's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2026 was 円760 Mil. Palma Co's annualized EBITDA for the quarter that ended in Mar. 2026 was 円272 Mil. Palma Co's annualized Debt-to-EBITDA for the quarter that ended in Mar. 2026 was 3.76.

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

TSE:3461' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 1.26   Med: 4.45   Max: 17.43
Current: 3.7

During the past 12 years, the highest Debt-to-EBITDA Ratio of Palma Co was 17.43. The lowest was 1.26. And the median was 4.45.

TSE:3461's Debt-to-EBITDA is ranked worse than
76.53% of 835 companies
in the Business Services industry
Industry Median: 1.67 vs TSE:3461: 3.70

Palma Co  (TSE:3461) 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.


Palma Co Debt-to-EBITDA Related Terms


Palma Co Debt-to-EBITDA Historical Data

* Premium members only.

The historical data trend for Palma 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.

Palma Co Debt-to-EBITDA Chart

Palma Co Annual Data
Trend Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22 Sep23 Sep24 Sep25
Debt-to-EBITDA
Get a 7-Day Free Trial Premium Member Only Premium Member Only 10.88 17.43 5.05 4.71 4.19

Palma Co Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
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 5.08 2.11 5.29 3.76 4.92

TSE:3461 vs CTAS, CPRT, GPN: Debt-to-EBITDA Comparison

For the Specialty Business Services subindustry, Palma 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.


Palma Co Debt-to-EBITDA vs Business Services Industry

For the Business Services industry and Industrials sector, Palma Co's Debt-to-EBITDA distribution charts can be found below:

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


TSE:3461
55GF Score
Palma Co Ltd TSE:3461
Debt-to-EBITDA is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Palma Co Debt-to-EBITDA Calculation

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

Palma Co's Debt-to-EBITDA for the fiscal year that ended in Sep. 2025 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(446.59 + 452.058) / 214.298
=4.19

Palma 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
=(261.654 + 760.232) / 272.02
=3.76

* 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 3.76 mean?
Palma Co (TSE:3461) has a Debt-to-EBITDA of 3.76 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 Palma Co. This is 16% below median its historical median of 4.45. Over the past decade, Palma Co's Debt-to-EBITDA has ranged from 1.26 to 17.43. According to the industry distribution chart, Palma Co ranks #639 out of 835 companies in the Business Services industry, placing it in the top 76.5%.
Is Palma Co's Debt-to-EBITDA too high?
Palma Co's current Debt-to-EBITDA of 3.76 is 16% below median its 10-year median of 4.45. Over the past 10 years, this metric has ranged from a low of 1.26 to a high of 17.43. The Business Services industry median Debt-to-EBITDA is 1.67. Palma Co's value of 3.76 is 125.1% above this industry median. Based on the distribution chart, Palma Co ranks #639 out of 835 companies in the Business Services industry, which is in the bottom quartile relative to peers. Overall, Palma Co has a GF Score™ of 55/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Palma Co's Debt-to-EBITDA compare to CTAS and CPRT?
According to the Business Services industry distribution chart, Palma Co ranks #639 out of 835 companies for Debt-to-EBITDA. This places Palma Co in the lower half of its industry. The industry median Debt-to-EBITDA is 1.67. Palma Co's value of 3.76 is 125.1% above this benchmark. Historically, Palma Co's own Debt-to-EBITDA has ranged from 1.26 to 17.43 over the past decade. While the company's 10-year median is 4.45 vs. the industry median of 1.67, Palma 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 Business Services company?
The median Debt-to-EBITDA among Business Services companies is 1.67, based on 835 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. Palma Co's current Debt-to-EBITDA of 3.76 is 125.1% 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 Palma Co. For the Business Services industry, the median Debt-to-EBITDA is 1.67 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Palma Co's current Debt-to-EBITDA is 3.76, which is 16% below median its own 10-year median of 4.45. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Palma Co stock overvalued right now?
Based on GuruFocus' analysis, Palma Co (TSE:3461) is currently considered Significantly Overvalued. The stock's GF Value™ is 円362.08, compared to a current price of 円627.00 — trading 73.2% above its estimated fair value. The current Debt-to-EBITDA is 3.76, which is 16% below median its 10-year median of 4.45 and 125.1% above the Business Services industry median of 1.67. Palma Co's overall GF Score™ is 55/100 with 5 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 Palma Co (TSE:3461), the current Debt-to-EBITDA is 3.76 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 Palma Co (TSE:3461) Overvalued in 2026?

Based on GuruFocus' analysis, Palma Co stock appears to be overvalued. The current stock price of 円627.00 is trading 73.2% above its estimated GF Value™ of 円362.08. GuruFocus considers Palma Co to be Significantly Overvalued.

Key valuation signals for TSE:3461:

  • Debt-to-EBITDA: 3.76 (16% below median its 10-year median of 4.45)
  • GF Value™: 円362.08 vs. price of 円627.00 (73.2% above fair value)
  • GF Score™: 55/100 with 5 warning signs
  • Industry Position: 125.1% above the Business Services median (#639 of 835)

No single metric tells the full story. See the TSE:3461 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Palma Co Business Description

Address 4-5-20 Kojimachi, 5th Floor, KS Building, Chiyoda-ku, Tokyo, JPN, 102-0083
Palma Co Ltd is engaged in the self-storage business for business process outsourcing. Its three solutions services include business solution services, IT solution services, and turnkey solutions. Its IT solution services include WEB reservation settlement and an inventory management system, and turn-key solutions include facility development, sales, and property management.
55GF Score

Get the complete analysis for TSE:3461

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

円627.00
Price
円362.08
GF Value