Zenhoren Co (TSE:5845) Effective Interest Rate on Debt %: 2.52% (As of Mar. 2026)

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TSE:5845 Zenhoren Co Ltd TSE:5845
38 GF Score
Price 円1,195.00
GF Value 円886.04
Valuation Significantly Overvalued
! 5 Warning Signs
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What is Zenhoren Co Effective Interest Rate on Debt %?

Zenhoren Co TSE:5845 +1.36% 38 Effective Interest Rate on Debt % is 2.52% as of Mar. 2026. GuruFocus rates TSE:5845 with a GF Score™ of 38/100 and a GF Value™ of 円886.04 (Significantly Overvalued). The stock has 5 warning signs investors should review.

Effective Interest Rate on Debt % is the usage rate that a borrower actually pays on a debt. It is calculated as the positive value of Interest Expense divided by its average total debt. Total debt equals to Long-Term Debt & Capital Lease Obligation plus Short-Term Debt & Capital Lease Obligation. Zenhoren Co's annualized positive value of Interest Expense for the quarter that ended in Mar. 2026 was 円24 Mil. Zenhoren Co's average total debt for the quarter that ended in Mar. 2026 was 円951 Mil. Therefore, Zenhoren Co's annualized Effective Interest Rate on Debt % for the quarter that ended in Mar. 2026 was 2.52%.


Zenhoren Co  (TSE:5845) Effective Interest Rate on Debt % Explanation

Effective Interest Rate on Debt % measures the usage rate that a borrower actually pays on a debt.


Zenhoren Co Effective Interest Rate on Debt % Related Terms


Zenhoren Co Effective Interest Rate on Debt % Historical Data

* Premium members only.

The historical data trend for Zenhoren Co's Effective Interest Rate on Debt % 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.

Zenhoren Co Effective Interest Rate on Debt % Chart

Zenhoren Co Annual Data
Trend Mar22 Mar23 Mar24 Mar25 Mar26
Effective Interest Rate on Debt %
1.49 1.50 1.65 1.70 2.12

Zenhoren Co Semi-Annual Data
Mar22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25 Mar26
Effective Interest Rate on Debt % Get a 7-Day Free Trial 1.42 1.74 1.86 1.85 2.52

TSE:5845 vs CTAS, CPRT, GPN: Effective Interest Rate on Debt % Comparison

For the Specialty Business Services subindustry, Zenhoren Co's Effective Interest Rate on Debt %, along with its competitors' market caps and Effective Interest Rate on Debt % 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.


Zenhoren Co Effective Interest Rate on Debt % vs Business Services Industry

For the Business Services industry and Industrials sector, Zenhoren Co's Effective Interest Rate on Debt % distribution charts can be found below:

* The bar in red indicates where Zenhoren Co's Effective Interest Rate on Debt % falls into.


TSE:5845
38GF Score
Zenhoren Co Ltd TSE:5845
Effective Interest Rate on Debt % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Zenhoren Co Effective Interest Rate on Debt % Calculation

Zenhoren Co's annualized Effective Interest Rate on Debt % for the fiscal year that ended in Mar. 2026 is calculated as

Effective Interest Rate on Debt %
=-1  *  Interest Expense/( (Total Debt  (A: Mar. 2025 )+Total Debt  (A: Mar. 2026 ))/ count )
=-1  *  -23/( (1322+845)/ 2 )
=-1  *  -23/1083.5
=2.12 %

where

Zenhoren Co's annualized Effective Interest Rate on Debt % for the quarter that ended in Mar. 2026 is calculated as

Effective Interest Rate on Debt %
=-1  *  Interest Expense/( (Total Debt  (Q: Sep. 2025 )+Total Debt  (Q: Mar. 2026 ))/ count )
=-1  *  -24/( (1056+845)/ 2 )
=-1  *  -24/950.5
=2.52 %

where

* 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 Effective Interest Rate on Debt %, the Interest Expense of the last fiscal year and the average total debt over the fiscal year are used. In calculating the quarterly data, the Interest Expense data used here is two times the semi-annual (Mar. 2026) interest expense data. Effective Interest Rate on Debt % is displayed in the 30-year financial page.

What does a Effective Interest Rate on Debt % of 2.52% mean?
Zenhoren Co (TSE:5845) has a Effective Interest Rate on Debt % of 2.52% as of Mar. 2026. Effective interest rate on debt is the rate a company actually pays on its debt. View historical data on Zenhoren Co and its competitors.
Is Zenhoren Co's Effective Interest Rate on Debt % too high?
Zenhoren Co's current Effective Interest Rate on Debt % is 2.52%. Overall, Zenhoren Co has a GF Score™ of 38/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Zenhoren Co's Effective Interest Rate on Debt % compare to CTAS and CPRT?
Zenhoren Co's Effective Interest Rate on Debt % of 2.52% can be compared against companies in the Business Services industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Effective Interest Rate on Debt % for a Business Services company?
A good Effective Interest Rate on Debt % depends on the Business Services industry context. However, Effective Interest Rate on Debt % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Effective Interest Rate on Debt % mean?
A high Effective Interest Rate on Debt % can signal that a stock is expensive relative to its fundamentals. Effective interest rate on debt is the rate a company actually pays on its debt. View historical data on Zenhoren Co and its competitors. Zenhoren Co's current Effective Interest Rate on Debt % is 2.52%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Zenhoren Co stock overvalued right now?
Based on GuruFocus' analysis, Zenhoren Co (TSE:5845) is currently considered Significantly Overvalued. The stock's GF Value™ is 円886.04, compared to a current price of 円1,195.00 — trading 34.9% above its estimated fair value. The current Effective Interest Rate on Debt % is 2.52%. Zenhoren Co's overall GF Score™ is 38/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Effective Interest Rate on Debt % calculated?
Effective Interest Rate on Debt % is calculated from a company's financial statements. For Zenhoren Co (TSE:5845), the current Effective Interest Rate on Debt % is 2.52% 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 Zenhoren Co (TSE:5845) Overvalued in 2026?

Based on GuruFocus' analysis, Zenhoren Co stock appears to be overvalued. The current stock price of 円1,195.00 is trading 34.9% above its estimated GF Value™ of 円886.04. GuruFocus considers Zenhoren Co to be Significantly Overvalued.

Key valuation signals for TSE:5845:

  • Effective Interest Rate on Debt %: 2.52%
  • GF Value™: 円886.04 vs. price of 円1,195.00 (34.9% above fair value)
  • GF Score™: 38/100 with 5 warning signs

No single metric tells the full story. See the TSE:5845 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Zenhoren Co Business Description

Address 905 Ameku, Okinawa Prefecture, Naha, JPN, 900-8608
Zenhoren Co Ltd is engaged in the rent liability guarantee business, providing rent guarantee services for residential properties with coverage of up to 24 months rent, including monthly rent, moving-out settlement fees, and tenant accident expense insurance. For business use, the Z-Business NEO service covers stores and offices with guarantees up to 24 months rent. The company also offers guarantees for parking lots and trunk rooms, the Z-value service for combined rent guarantee and fire insurance via smartphone, and Z-WEB/Z-WEB2.0 for centralized management by real estate companies. In addition, Zenhoren provides Z-College Support (tuition guarantee), enabling vocational schools and students to pay tuition fees in installments.
38GF Score

Get the complete analysis for TSE:5845

Effective Interest Rate on Debt % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

円1,195.00
Price
円886.04
GF Value