The Japan Steel WorksFRA:J9R +1.63%81 Interest Coverage is 27.42 as of Mar. 2026, which is 61% below its 10-year median of 70.55. GuruFocus rates FRA:J9R with a GF Score™ of 81/100 and a GF Value™ of €34.43 (Modestly Overvalued). The stock has 2 warning signs investors should review. Among 2,325 Industrial Products companies, The Japan Steel Works ranks better than 66.06% 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. The Japan Steel Works's
Operating Income
for the
three
months ended in Mar. 2026 was €42 Mil. The Japan Steel Works's Interest Expense for the
three
months ended in Mar. 2026 was €-2 Mil.
The Japan Steel Works's interest coverage for the quarter that ended in Mar. 2026 was 27.42.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for The Japan Steel Works's Interest Coverage or its related term are showing as below:
FRA:J9R'
s Interest Coverage Range Over the Past 10 Years
Min: 34.77 Med: 70.55 Max: 98.76
Current: 34.77
FRA:J9R's Interest Coverage is ranked better than 66.06% of 2325
companies
in the Industrial Products industry
Industry Median: 14.87
vs FRA:J9R: 34.77
The Japan Steel Works (FRA:J9R) 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 .
The Japan Steel Works Interest Coverage Related Terms
The Japan Steel Works Interest Coverage Historical Data
* Premium members only.
The historical data trend for The Japan Steel Works'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.
FRA:J9R vs GEV, ETN, PH: Interest Coverage Comparison
For the Specialty Industrial Machinery subindustry, The Japan Steel Works'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.
The Japan Steel Works Interest Coverage vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, The Japan Steel Works's Interest Coverage distribution charts can be found below:
* The bar in red indicates where The Japan Steel Works's Interest Coverage falls into.
The Japan Steel Works 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:
* 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 Japan Steel Works (FRA:J9R) has a Interest Coverage of 27.42 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on The Japan Steel Works and its competitors. This is 61% below median its historical median of 70.55. Over the past decade, The Japan Steel Works' Interest Coverage has ranged from 34.77 to 98.76. According to the industry distribution chart, The Japan Steel Works ranks #789 out of 2325 companies in the Industrial Products industry, placing it in the top 33.9%.
Is The Japan Steel Works' Interest Coverage too high?
The Japan Steel Works' current Interest Coverage of 27.42 is 61% below median its 10-year median of 70.55. Over the past 10 years, this metric has ranged from a low of 34.77 to a high of 98.76. The Industrial Products industry median Interest Coverage is 14.87. The Japan Steel Works' value of 27.42 is 84.4% above this industry median. Based on the distribution chart, The Japan Steel Works ranks #789 out of 2325 companies in the Industrial Products industry, which is above the industry midpoint. Overall, The Japan Steel Works has a GF Score™ of 81/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does The Japan Steel Works' Interest Coverage compare to GEV and ETN?
According to the Industrial Products industry distribution chart, The Japan Steel Works ranks #789 out of 2325 companies for Interest Coverage. This puts The Japan Steel Works in the upper half of its industry. The industry median Interest Coverage is 14.87. The Japan Steel Works' value of 27.42 is 84.4% above this benchmark. Historically, The Japan Steel Works' own Interest Coverage has ranged from 34.77 to 98.76 over the past decade. While the company's 10-year median is 70.55 vs. the industry median of 14.87, The Japan Steel Works 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 an Industrial Products company?
The median Interest Coverage among Industrial Products companies is 14.87, based on 2,325 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. The Japan Steel Works's current Interest Coverage of 27.42 is 84.4% 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 The Japan Steel Works and its competitors. For the Industrial Products industry, the median Interest Coverage is 14.87 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. The Japan Steel Works's current Interest Coverage is 27.42, which is 61% below median its own 10-year median of 70.55. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is The Japan Steel Works stock overvalued right now?
Based on GuruFocus' analysis, The Japan Steel Works (FRA:J9R) is currently considered Modestly Overvalued. The stock's GF Value™ is €34.43, compared to a current price of €41.86 — trading 21.6% above its estimated fair value. The current Interest Coverage is 27.42, which is 61% below median its 10-year median of 70.55 and 84.4% above the Industrial Products industry median of 14.87. The Japan Steel Works' overall GF Score™ is 81/100 with 2 warning signs 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 The Japan Steel Works (FRA:J9R), the current Interest Coverage is 27.42 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 The Japan Steel Works (FRA:J9R) Overvalued in 2026?
Based on GuruFocus' analysis, The Japan Steel Works stock appears to be overvalued.
The current stock price of €41.86 is trading 21.6% above its estimated GF Value™ of €34.43.
GuruFocus considers The Japan Steel Works to be Modestly Overvalued.
Key valuation signals for FRA:J9R:
Interest Coverage: 27.42 (61% below median its 10-year median of 70.55)
GF Value™: €34.43 vs. price of €41.86 (21.6% above fair value)
Industry Position: 84.4% above the Industrial Products median (#789 of 2325)
No single metric tells the full story. See the FRA:J9R stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
The Japan Steel Works Ltd provides industrial machinery as well as materials and engineering solutions in Japan and internationally. The company operates through two segments. The Industrial Machinery segment provides resin manufacturing and processing machinery, molding machines, defense-related equipment, and other industrial machinery. The Materials and Engineering segment covers raw material products and engineering operations. The Other segment includes the film deposition business, crystal business, and related activities. It generates the majority of its revenue from the Industrial machinery business segment.
81GF Score
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