Harmonic Drive SystemsHSYDF 69 Interest Coverage is 18.86 as of Mar. 2026, which is 69% below its 10-year median of 61.23. GuruFocus rates HSYDF with a GF Score™ of 69/100 and a GF Value™ of $23.38 (Significantly Overvalued). The stock has 10 warning signs investors should review. Among 2,329 Industrial Products companies, Harmonic Drive Systems ranks worse than 59.42% 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. Harmonic Drive Systems's
Operating Income
for the
three
months ended in Mar. 2026 was $8.7 Mil. Harmonic Drive Systems's Interest Expense for the
three
months ended in Mar. 2026 was $-0.5 Mil.
Harmonic Drive Systems's interest coverage for the quarter that ended in Mar. 2026 was 18.86.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Harmonic Drive Systems's Interest Coverage or its related term are showing as below:
HSYDF'
s Interest Coverage Range Over the Past 10 Years
Min: 0.03 Med: 61.23 Max: 1166.61
Current: 9.89
HSYDF's Interest Coverage is ranked worse than 59.42% of 2329
companies
in the Industrial Products industry
Industry Median: 14.8
vs HSYDF: 9.89
Harmonic Drive Systems (OTCPK:HSYDF) 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 .
Harmonic Drive Systems Interest Coverage Related Terms
Harmonic Drive Systems Interest Coverage Historical Data
* Premium members only.
The historical data trend for Harmonic Drive Systems'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.
HSYDF vs GEV, ETN, PH: Interest Coverage Comparison
For the Specialty Industrial Machinery subindustry, Harmonic Drive Systems'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.
Harmonic Drive Systems Interest Coverage vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Harmonic Drive Systems's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Harmonic Drive Systems's Interest Coverage falls into.
Harmonic Drive Systems 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.
Harmonic Drive Systems (HSYDF) has a Interest Coverage of 18.86 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Harmonic Drive Systems and its competitors. This is 69% below median its historical median of 61.23. Over the past decade, Harmonic Drive Systems' Interest Coverage has ranged from 0.03 to 1,166.61. According to the industry distribution chart, Harmonic Drive Systems ranks #1384 out of 2329 companies in the Industrial Products industry, placing it in the top 59.4%.
Is Harmonic Drive Systems' Interest Coverage too high?
Harmonic Drive Systems' current Interest Coverage of 18.86 is 69% below median its 10-year median of 61.23. Over the past 10 years, this metric has ranged from a low of 0.03 to a high of 1,166.61. The Industrial Products industry median Interest Coverage is 14.80. Harmonic Drive Systems' value of 18.86 is 27.4% above this industry median. Based on the distribution chart, Harmonic Drive Systems ranks #1384 out of 2329 companies in the Industrial Products industry, which is below the industry midpoint. Overall, Harmonic Drive Systems has a GF Score™ of 69/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Harmonic Drive Systems' Interest Coverage compare to GEV and ETN?
According to the Industrial Products industry distribution chart, Harmonic Drive Systems ranks #1384 out of 2329 companies for Interest Coverage. This places Harmonic Drive Systems in the lower half of its industry. The industry median Interest Coverage is 14.80. Harmonic Drive Systems' value of 18.86 is 27.4% above this benchmark. Historically, Harmonic Drive Systems' own Interest Coverage has ranged from 0.03 to 1,166.61 over the past decade. While the company's 10-year median is 61.23 vs. the industry median of 14.80, Harmonic Drive Systems 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 14.80, based on 2,329 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. Harmonic Drive Systems's current Interest Coverage of 18.86 is 27.4% 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 Harmonic Drive Systems and its competitors. For the Industrial Products industry, the median Interest Coverage is 14.80 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Harmonic Drive Systems's current Interest Coverage is 18.86, which is 69% below median its own 10-year median of 61.23. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Harmonic Drive Systems stock overvalued right now?
Based on GuruFocus' analysis, Harmonic Drive Systems (HSYDF) is currently considered Significantly Overvalued. The stock's GF Value™ is $23.38, compared to a current price of $48.38 — trading 106.9% above its estimated fair value. The current Interest Coverage is 18.86, which is 69% below median its 10-year median of 61.23 and 27.4% above the Industrial Products industry median of 14.80. Harmonic Drive Systems' overall GF Score™ is 69/100 with 10 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 Harmonic Drive Systems (HSYDF), the current Interest Coverage is 18.86 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 Harmonic Drive Systems (HSYDF) Overvalued in 2026?
Based on GuruFocus' analysis, Harmonic Drive Systems stock appears to be overvalued.
The current stock price of $48.38 is trading 106.9% above its estimated GF Value™ of $23.38.
GuruFocus considers Harmonic Drive Systems to be Significantly Overvalued.
Key valuation signals for HSYDF:
Interest Coverage: 18.86 (69% below median its 10-year median of 61.23)
GF Value™: $23.38 vs. price of $48.38 (106.9% above fair value)
Industry Position: 27.4% above the Industrial Products median (#1384 of 2329)
No single metric tells the full story. See the HSYDF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Harmonic Drive Systems manufactures and sells high-precision reduction gears (harmonic reducers) under the Harmonic Drive brand as well as other mechatronics products, including rotary actuators, linear actuators, and AC servo motors. The company also provides planetary gear speed reducers under the AccuDrive and Harmonic Planetary brands. Its products are used in industrial robots, semiconductor production equipment, and other high-precision equipment. HDS was founded in 1970 and is headquartered in Tokyo, Japan.
69GF Score
Get the complete analysis for HSYDF
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