Shinko (TSE:7120) Debt-to-EBITDA : 0.53 (As of Mar. 2026) — 96% Above Median

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TSE:7120 Shinko Inc TSE:7120
83 GF Score
Price 円998.00
GF Value 円1,037.79
Valuation Fairly Valued
! 3 Warning Signs
View Full Analysis

What is Shinko Debt-to-EBITDA?

Shinko TSE:7120 -0.40% 83 Debt-to-EBITDA is 0.53 as of Mar. 2026, which is 96% above its 10-year median of 0.27. GuruFocus rates TSE:7120 with a GF Score™ of 83/100 and a GF Value™ of 円1,037.79 (Fairly Valued). The stock has 3 warning signs investors should review. Among 1,721 Software companies, Shinko ranks better than 61.36% on this metric.

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

Shinko's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2026 was 円820 Mil. Shinko's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2026 was 円376 Mil. Shinko's annualized EBITDA for the quarter that ended in Mar. 2026 was 円2,243 Mil. Shinko's annualized Debt-to-EBITDA for the quarter that ended in Mar. 2026 was 0.53.

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

TSE:7120' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 0.05   Med: 0.27   Max: 1.16
Current: 0.61

During the past 6 years, the highest Debt-to-EBITDA Ratio of Shinko was 1.16. The lowest was 0.05. And the median was 0.27.

TSE:7120's Debt-to-EBITDA is ranked better than
61.36% of 1721 companies
in the Software industry
Industry Median: 0.98 vs TSE:7120: 0.61

Shinko  (TSE:7120) 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.


Shinko Debt-to-EBITDA Related Terms


Shinko Debt-to-EBITDA Historical Data

* Premium members only.

The historical data trend for Shinko'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.

Shinko Debt-to-EBITDA Chart

Shinko Annual Data
Trend Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Debt-to-EBITDA
Get a 7-Day Free Trial 0.05 0.42 0.09 0.11 1.16

Shinko Quarterly Data
Mar21 Mar22 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 0.00 0.00 0.00 0.53 -1.30

TSE:7120 vs IBM, ACN, CTSH: Debt-to-EBITDA Comparison

For the Information Technology Services subindustry, Shinko'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.


Shinko Debt-to-EBITDA vs Software Industry

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

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


TSE:7120
83GF Score
Shinko Inc TSE:7120
Debt-to-EBITDA is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Shinko Debt-to-EBITDA Calculation

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

Shinko'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
=(820.048 + 376.068) / 1030.773
=1.16

Shinko'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
=(820.048 + 376.068) / 2243.264
=0.53

* 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 0.53 mean?
Shinko (TSE:7120) has a Debt-to-EBITDA of 0.53 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 Shinko. This is 96% above median its historical median of 0.27. Over the past decade, Shinko's Debt-to-EBITDA has ranged from 0.05 to 1.16. According to the industry distribution chart, Shinko ranks #665 out of 1721 companies in the Software industry, placing it in the top 38.6%.
Is Shinko's Debt-to-EBITDA too high?
Shinko's current Debt-to-EBITDA of 0.53 is 96% above median its 10-year median of 0.27. Over the past 10 years, this metric has ranged from a low of 0.05 to a high of 1.16. The Software industry median Debt-to-EBITDA is 0.98. Shinko's value of 0.53 is 45.9% below this industry median. Based on the distribution chart, Shinko ranks #665 out of 1721 companies in the Software industry, which is above the industry midpoint. Overall, Shinko has a GF Score™ of 83/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Shinko's Debt-to-EBITDA compare to IBM and ACN?
According to the Software industry distribution chart, Shinko ranks #665 out of 1721 companies for Debt-to-EBITDA. This puts Shinko in the upper half of its industry. The industry median Debt-to-EBITDA is 0.98. Shinko's value of 0.53 is 45.9% below this benchmark. Historically, Shinko's own Debt-to-EBITDA has ranged from 0.05 to 1.16 over the past decade. While the company's 10-year median is 0.27 vs. the industry median of 0.98, Shinko 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 Software company?
The median Debt-to-EBITDA among Software companies is 0.98, based on 1,721 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. Shinko's current Debt-to-EBITDA of 0.53 is 45.9% 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 Shinko. For the Software industry, the median Debt-to-EBITDA is 0.98 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Shinko's current Debt-to-EBITDA is 0.53, which is 96% above median its own 10-year median of 0.27. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Shinko stock overvalued right now?
Based on GuruFocus' analysis, Shinko (TSE:7120) is currently considered Fairly Valued. The stock's GF Value™ is 円1,037.79, compared to a current price of 円998.00 — trading 3.8% below its estimated fair value. The current Debt-to-EBITDA is 0.53, which is 96% above median its 10-year median of 0.27 and 45.9% below the Software industry median of 0.98. Shinko's overall GF Score™ is 83/100 with 3 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 Shinko (TSE:7120), the current Debt-to-EBITDA is 0.53 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 Shinko (TSE:7120) Overvalued in 2026?

Based on GuruFocus' analysis, Shinko stock appears to be undervalued. The current stock price of 円998.00 is trading 3.8% below its estimated GF Value™ of 円1,037.79. GuruFocus considers Shinko to be Fairly Valued.

Key valuation signals for TSE:7120:

  • Debt-to-EBITDA: 0.53 (96% above median its 10-year median of 0.27)
  • GF Value™: 円1,037.79 vs. price of 円998.00 (3.8% below fair value)
  • GF Score™: 83/100 with 3 warning signs
  • Industry Position: 45.9% below the Software median (#665 of 1721)

No single metric tells the full story. See the TSE:7120 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Shinko Business Description

Address 8F CS Tower, 5-20-8 Asakusabashi, Taito-ku, Tokyo, JPN, 111-0053
Shinko Inc is engaged in providing maintenance services for IT equipment and Staffing services. The company's services and products include; Maintenance services, human resource services, Introduction design and installation development services, and Network security-related products. The Maintenance services include Onsite maintenance service, Help desk service, Remote monitoring service, and call center service. The human resource services include an Engineer dispatch service and a Business contract. The Introduction design and installation development services include Network design and construction, Wireless environment construction, and Communication system construction.
83GF Score

Get the complete analysis for TSE:7120

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

円998.00
Price
円1,037.79
GF Value