CTS Co (TSE:4345) Debt-to-EBITDA : 0.25 (As of Mar. 2026) — 64% 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:4345 CTS Co Ltd TSE:4345
82 GF Score
Price 円838.00
GF Value 円938.24
Valuation Modestly Undervalued
! 2 Warning Signs
View Full Analysis

What is CTS Co Debt-to-EBITDA?

CTS Co TSE:4345 +0.84% 82 Debt-to-EBITDA is 0.25 as of Mar. 2026, which is 64% below its 10-year median of 0.70. GuruFocus rates TSE:4345 with a GF Score™ of 82/100 and a GF Value™ of 円938.24 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 833 Business Services companies, CTS Co ranks better than 84.63% on this metric.

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

CTS Co's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2026 was 円656 Mil. CTS Co's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2026 was 円1,176 Mil. CTS Co's annualized EBITDA for the quarter that ended in Mar. 2026 was 円7,424 Mil. CTS Co's annualized Debt-to-EBITDA for the quarter that ended in Mar. 2026 was 0.25.

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

TSE:4345' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 0.24   Med: 0.7   Max: 1.93
Current: 0.24

During the past 13 years, the highest Debt-to-EBITDA Ratio of CTS Co was 1.93. The lowest was 0.24. And the median was 0.70.

TSE:4345's Debt-to-EBITDA is ranked better than
84.63% of 833 companies
in the Business Services industry
Industry Median: 1.67 vs TSE:4345: 0.24

CTS Co  (TSE:4345) 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.


CTS Co Debt-to-EBITDA Related Terms


CTS Co Debt-to-EBITDA Historical Data

* Premium members only.

The historical data trend for CTS 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.

CTS Co Debt-to-EBITDA Chart

CTS 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 0.68 0.53 0.48 0.43 0.48

CTS 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 0.29 0.19 0.47 0.25 0.33

TSE:4345 vs URI, SUNB, AER: Debt-to-EBITDA Comparison

For the Rental & Leasing Services subindustry, CTS 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.


CTS Co Debt-to-EBITDA vs Business Services Industry

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

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


TSE:4345
82GF Score
CTS Co Ltd TSE:4345
Debt-to-EBITDA is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

CTS Co Debt-to-EBITDA Calculation

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

CTS 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
=(656 + 1176) / 3814
=0.48

CTS 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
=(656 + 1176) / 7424
=0.25

* 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 0.25 mean?
CTS Co (TSE:4345) has a Debt-to-EBITDA of 0.25 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 CTS Co. This is 64% below median its historical median of 0.70. Over the past decade, CTS Co's Debt-to-EBITDA has ranged from 0.24 to 1.93. According to the industry distribution chart, CTS Co ranks #128 out of 833 companies in the Business Services industry, placing it in the top 15.4%.
Is CTS Co's Debt-to-EBITDA too high?
CTS Co's current Debt-to-EBITDA of 0.25 is 64% below median its 10-year median of 0.70. Over the past 10 years, this metric has ranged from a low of 0.24 to a high of 1.93. The Business Services industry median Debt-to-EBITDA is 1.67. CTS Co's value of 0.25 is 85% below this industry median. Based on the distribution chart, CTS Co ranks #128 out of 833 companies in the Business Services industry, which is in the top quartile — a strong position relative to peers. Overall, CTS Co has a GF Score™ of 82/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does CTS Co's Debt-to-EBITDA compare to URI and SUNB?
According to the Business Services industry distribution chart, CTS Co ranks #128 out of 833 companies for Debt-to-EBITDA. This places CTS Co in the top 15% of its industry — outperforming the majority of peers. The industry median Debt-to-EBITDA is 1.67. CTS Co's value of 0.25 is 85% below this benchmark. Historically, CTS Co's own Debt-to-EBITDA has ranged from 0.24 to 1.93 over the past decade. While the company's 10-year median is 0.70 vs. the industry median of 1.67, CTS 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 Business Services company?
The median Debt-to-EBITDA among Business Services companies is 1.67, based on 833 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. CTS Co's current Debt-to-EBITDA of 0.25 is 85% 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 CTS 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. CTS Co's current Debt-to-EBITDA is 0.25, which is 64% below median its own 10-year median of 0.70. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is CTS Co stock overvalued right now?
Based on GuruFocus' analysis, CTS Co (TSE:4345) is currently considered Modestly Undervalued. The stock's GF Value™ is 円938.24, compared to a current price of 円838.00 — trading 10.7% below its estimated fair value. The current Debt-to-EBITDA is 0.25, which is 64% below median its 10-year median of 0.70 and 85% below the Business Services industry median of 1.67. CTS Co's overall GF Score™ is 82/100 with 2 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 CTS Co (TSE:4345), the current Debt-to-EBITDA is 0.25 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 CTS Co (TSE:4345) Overvalued in 2026?

Based on GuruFocus' analysis, CTS Co stock appears to be undervalued. The current stock price of 円838.00 is trading 10.7% below its estimated GF Value™ of 円938.24. GuruFocus considers CTS Co to be Modestly Undervalued.

Key valuation signals for TSE:4345:

  • Debt-to-EBITDA: 0.25 (64% below median its 10-year median of 0.70)
  • GF Value™: 円938.24 vs. price of 円838.00 (10.7% below fair value)
  • GF Score™: 82/100 with 2 warning signs
  • Industry Position: 85% below the Business Services median (#128 of 833)

No single metric tells the full story. See the TSE:4345 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


CTS Co Business Description

Address Kitasaiwai 1-1-8, Kanagawa Prefecture, Nishi Ward, Yokohama, JPN
CTS Co Ltd is engaged in construction ICT, system business, survey measurement business, house furniture business and environmental safety business. The company's segments are: DDS Business; SMS Business; and SH Business.
82GF Score

Get the complete analysis for TSE:4345

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

円838.00
Price
円938.24
GF Value