Shift (FRA:7CZ) Interest Coverage: 209.35 (As of Feb. 2026) — Near Median


FRA:7CZ Shift Inc FRA:7CZ
82 GF Score
Price €3.48
GF Value €8.94
Valuation Significantly Undervalued
! 1 Warning Sign
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What is Shift Interest Coverage?

Shift FRA:7CZ +8.75% 82 Interest Coverage is 209.35 as of Feb. 2026, which is 6% above its 10-year median of 197.29. GuruFocus rates FRA:7CZ with a GF Score™ of 82/100 and a GF Value™ of €8.94 (Significantly Undervalued). The stock has 1 warning sign investors should review. Among 1,705 Software companies, Shift ranks better than 68.56% on this metric.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income by its Interest Expense. Shift's Operating Income for the three months ended in Feb. 2026 was €69.7 Mil. Shift's Interest Expense for the three months ended in Feb. 2026 was €-0.3 Mil. Shift's interest coverage for the quarter that ended in Feb. 2026 was 209.35. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Shift's Interest Coverage or its related term are showing as below:

FRA:7CZ' s Interest Coverage Range Over the Past 10 Years
Min: 62.61   Med: 197.29   Max: 608.74
Current: 106.71


FRA:7CZ's Interest Coverage is ranked better than
68.56% of 1705 companies
in the Software industry
Industry Median: 24.78 vs FRA:7CZ: 106.71

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.


Shift  (FRA:7CZ) Interest Coverage Explanation

Ben Graham requires that a company has a minimum interest coverage of 5 with the companies he invested. If the interest coverage is less than 2, the company is burdened by debt. Any business slow or recession may drag the company into a situation where it cannot pay the interest on its debt.

Interest Coverage is an important factor when GuruFocus ranks a company's overage Financial Strength .


Shift Interest Coverage Related Terms


Shift Interest Coverage Historical Data

* Premium members only.

The historical data trend for Shift's Interest Coverage 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.

Note: For Interest Coverage, "No debt" indicates no long-term debt. An indication of "No Debt" does not necessarily mean that the company has no long-term debt obligations; it could be due to missing data in the quarterly or annual report. Use caution when interpreting this information.

Shift Interest Coverage Chart

Shift Annual Data
Trend Aug16 Aug17 Aug18 Aug19 Aug20 Aug21 Aug22 Aug23 Aug24 Aug25
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 275.99 494.54 610.47 185.10 133.67

Shift Quarterly Data
May21 Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24 May24 Aug24 Nov24 Feb25 May25 Aug25 Nov25 Feb26
Interest Coverage 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 709.09 0.00 90.73 315.23 209.35

FRA:7CZ vs UBER, SHOP, CRM: Interest Coverage Comparison

For the Software - Application subindustry, Shift's Interest Coverage, along with its competitors' market caps and Interest Coverage 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.


Shift Interest Coverage vs Software Industry

For the Software industry and Technology sector, Shift's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Shift's Interest Coverage falls into.


FRA:7CZ
82GF Score
Shift Inc FRA:7CZ
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Shift Interest Coverage Calculation

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

If Interest Expense is negative and Operating Income is positive, then

Interest Coverage=-1* Operating Income /Interest Expense

Else if Interest Expense is negative and Operating Income is negative, then

The company did not have earnings to cover the interest expense.

Else if Interest Expense is 0 and Long-Term Debt & Capital Lease Obligation is 0, then

The company had no debt (1).


Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Shift's Interest Coverage for the fiscal year that ended in Aug. 2025 is calculated as

Here, for the fiscal year that ended in Aug. 2025, Shift's Interest Expense was €-0.7 Mil. Its Operating Income was €91.0 Mil. And its Long-Term Debt & Capital Lease Obligation was €49.5 Mil.

Interest Coverage=-1* Operating Income (A: Aug. 2025 )/Interest Expense (A: Aug. 2025 )
=-1*91.032/-0.681
=133.67

Shift's Interest Coverage for the quarter that ended in Feb. 2026 is calculated as

Here, for the three months ended in Feb. 2026, Shift's Interest Expense was €-0.3 Mil. Its Operating Income was €69.7 Mil. And its Long-Term Debt & Capital Lease Obligation was €36.3 Mil.

Interest Coverage=-1* Operating Income (Q: Feb. 2026 )/Interest Expense (Q: Feb. 2026 )
=-1*69.714/-0.333
=209.35

* 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.

The higher the ratio, the stronger the company's Financial Strength is.

Frequently Asked Questions Learn more about Interest Coverage →
What does a Interest Coverage of 209.35 mean?
Shift (FRA:7CZ) has a Interest Coverage of 209.35 as of Feb. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Shift and its competitors. This is near median its historical median of 197.29. Over the past decade, Shift's Interest Coverage has ranged from 62.61 to 608.74. According to the industry distribution chart, Shift ranks #536 out of 1705 companies in the Software industry, placing it in the top 31.4%.
Is Shift's Interest Coverage too high?
Shift's current Interest Coverage of 209.35 is near median its 10-year median of 197.29. Over the past 10 years, this metric has ranged from a low of 62.61 to a high of 608.74. The Software industry median Interest Coverage is 24.78. Shift's value of 209.35 is 744.8% above this industry median. Based on the distribution chart, Shift ranks #536 out of 1705 companies in the Software industry, which is above the industry midpoint. Overall, Shift has a GF Score™ of 82/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Shift's Interest Coverage compare to UBER and SHOP?
According to the Software industry distribution chart, Shift ranks #536 out of 1705 companies for Interest Coverage. This puts Shift in the upper half of its industry. The industry median Interest Coverage is 24.78. Shift's value of 209.35 is 744.8% above this benchmark. Historically, Shift's own Interest Coverage has ranged from 62.61 to 608.74 over the past decade. While the company's 10-year median is 197.29 vs. the industry median of 24.78, Shift 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 Interest Coverage for a Software company?
The median Interest Coverage among Software companies is 24.78, based on 1,705 companies in the industry. Companies in the top quartile (top 25%) have a Interest Coverage significantly above this median, while those in the bottom quartile fall well below. However, Interest Coverage should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Shift's current Interest Coverage of 209.35 is 744.8% 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 Interest Coverage mean?
A high Interest Coverage can signal that a stock is expensive relative to its fundamentals. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Shift and its competitors. For the Software industry, the median Interest Coverage is 24.78 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Shift's current Interest Coverage is 209.35, which is near median its own 10-year median of 197.29. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Shift stock overvalued right now?
Based on GuruFocus' analysis, Shift (FRA:7CZ) is currently considered Significantly Undervalued. The stock's GF Value™ is €8.94, compared to a current price of €3.48 — trading 61.1% below its estimated fair value. The current Interest Coverage is 209.35, which is near median its 10-year median of 197.29 and 744.8% above the Software industry median of 24.78. Shift's overall GF Score™ is 82/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Interest Coverage calculated?
Interest Coverage is calculated from a company's financial statements. For Shift (FRA:7CZ), the current Interest Coverage is 209.35 as of Feb. 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 Shift (FRA:7CZ) Overvalued in 2026?

Based on GuruFocus' analysis, Shift stock appears to be undervalued. The current stock price of €3.48 is trading 61.1% below its estimated GF Value™ of €8.94. GuruFocus considers Shift to be Significantly Undervalued.

Key valuation signals for FRA:7CZ:

  • Interest Coverage: 209.35 (near median its 10-year median of 197.29)
  • GF Value™: €8.94 vs. price of €3.48 (61.1% below fair value)
  • GF Score™: 82/100 with 1 warning sign
  • Industry Position: 744.8% above the Software median (#536 of 1705)

No single metric tells the full story. See the FRA:7CZ stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Shift Business Description

Other Exchanges 3697:Japan
Address MASONIC 39 MT BUILDING, 2-4-5 Azabudai, Minato-ku, Tokyo, JPN, 106-0041
Shift Inc provides software testing services. The company's solutions include Test Design that takes into consideration of usability for the next project, and its seasoned test engineers provide support to test design such as building standard confirmation item. Test Run helps the customers to choose onsite or off-site implementation in accordance with the environment. MinTest is a website where people report bugs of social games and applications. It also provides other services such as CAT, Non-Functional Testing, Localization, and others related services.
82GF Score

Get the complete analysis for FRA:7CZ

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

€3.48
Price
€8.94
GF Value