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Headwaters CoTSE:4011 -3.77%74 Debt-to-Equity is 0.47 as of Jun. 2026, which is 54% below its 10-year median of 1.02. GuruFocus rates TSE:4011 with a GF Score™ of 74/100 and a GF Value™ of 円8,722.09 (Possible Value Trap). The stock has 7 warning signs investors should review. Among 2,246 Software companies, Headwaters Co ranks worse than 75.65% on this metric.
A high debt to equity ratio generally means that a company has been aggressive in financing its growth with debt. This can result in volatile earnings as a result of the additional interest expense.
The historical rank and industry rank for Headwaters Co's Debt-to-Equity or its related term are showing as below:
TSE:4011'
s Debt-to-Equity Range Over the Past 10 Years
Min: 0.07 Med: 1.02 Max: 1.44
Current: 0.63
During the past 8 years, the highest Debt-to-Equity Ratio of Headwaters Co was 1.44. The lowest was 0.07. And the median was 1.02.
TSE:4011's Debt-to-Equity is ranked worse than 75.65% of 2246
companies
in the Software industry
Industry Median: 0.2
vs TSE:4011: 0.63
Because a company can increase its ROE % by having more financial leverage, it is important to watch the leverage ratio when investing in high ROE % companies.
Headwaters Co Debt-to-Equity Related Terms
Headwaters Co Debt-to-Equity Historical Data
* Premium members only.
The historical data trend for Headwaters Co's Debt-to-Equity 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.
TSE:4011 vs CRM, SHOP, UBER: Debt-to-Equity Comparison
For the Software - Application subindustry, Headwaters Co's Debt-to-Equity, along with its competitors' market caps and Debt-to-Equity 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.
Headwaters Co Debt-to-Equity vs Software Industry
For the Software industry and Technology sector, Headwaters Co's Debt-to-Equity distribution charts can be found below:
* The bar in red indicates where Headwaters Co's Debt-to-Equity falls into.
* 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.
Headwaters Co (TSE:4011) has a Debt-to-Equity of 0.47 as of Jun. 2026. Debt-to-Equity ratio represents the ratio of total debt to total company equity. View historical data on Headwaters Co and its competitors. This is 54% below median its historical median of 1.02. Over the past decade, Headwaters Co's Debt-to-Equity has ranged from 0.07 to 1.44. According to the industry distribution chart, Headwaters Co ranks #1699 out of 2246 companies in the Software industry, placing it in the top 75.6%.
Is Headwaters Co's Debt-to-Equity too high?
Headwaters Co's current Debt-to-Equity of 0.47 is 54% below median its 10-year median of 1.02. Over the past 10 years, this metric has ranged from a low of 0.07 to a high of 1.44. The Software industry median Debt-to-Equity is 0.20. Headwaters Co's value of 0.47 is 135% above this industry median. Based on the distribution chart, Headwaters Co ranks #1699 out of 2246 companies in the Software industry, which is in the bottom quartile relative to peers. Overall, Headwaters Co has a GF Score™ of 74/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Headwaters Co's Debt-to-Equity compare to CRM and SHOP?
According to the Software industry distribution chart, Headwaters Co ranks #1699 out of 2246 companies for Debt-to-Equity. This places Headwaters Co in the lower half of its industry. The industry median Debt-to-Equity is 0.20. Headwaters Co's value of 0.47 is 135% above this benchmark. Historically, Headwaters Co's own Debt-to-Equity has ranged from 0.07 to 1.44 over the past decade. While the company's 10-year median is 1.02 vs. the industry median of 0.20, Headwaters 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-Equity for a Software company?
The median Debt-to-Equity among Software companies is 0.20, based on 2,246 companies in the industry. Companies in the top quartile (top 25%) have a Debt-to-Equity significantly above this median, while those in the bottom quartile fall well below. However, Debt-to-Equity should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Headwaters Co's current Debt-to-Equity of 0.47 is 135% 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-Equity mean?
A high Debt-to-Equity can signal that a stock is expensive relative to its fundamentals. Debt-to-Equity ratio represents the ratio of total debt to total company equity. View historical data on Headwaters Co and its competitors. For the Software industry, the median Debt-to-Equity is 0.20 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Headwaters Co's current Debt-to-Equity is 0.47, which is 54% below median its own 10-year median of 1.02. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Headwaters Co stock overvalued right now?
Based on GuruFocus' analysis, Headwaters Co (TSE:4011) is currently considered Possible Value Trap. The stock's GF Value™ is 円8,722.09, compared to a current price of 円2,245.00 — trading 74.3% below its estimated fair value. The current Debt-to-Equity is 0.47, which is 54% below median its 10-year median of 1.02 and 135% above the Software industry median of 0.20. Headwaters Co's overall GF Score™ is 74/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Debt-to-Equity calculated?
Debt-to-Equity is calculated from a company's financial statements. For Headwaters Co (TSE:4011), the current Debt-to-Equity is 0.47 as of Jun. 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 Headwaters Co (TSE:4011) Overvalued in 2026?
Based on GuruFocus' analysis, Headwaters Co stock appears to be undervalued.
The current stock price of 円2,245.00 is trading 74.3% below its estimated GF Value™ of 円8,722.09.
GuruFocus considers Headwaters Co to be Possible Value Trap.
Key valuation signals for TSE:4011:
Debt-to-Equity: 0.47 (54% below median its 10-year median of 1.02)
GF Value™: 円8,722.09 vs. price of 円2,245.00 (74.3% below fair value)
Industry Position: 135% above the Software median (#1699 of 2246)
No single metric tells the full story. See the TSE:4011 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Headwaters Co Ltd is engaged in the planning and development of artificial intelligence (AI) applications. It develops AI-related businesses such as AI platform operation, AI application development, robot application development, and cloud service operation. The group has a single segment, the AI solutions business.
74GF Score
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