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HitachiHTHIY -1.80%81 Interest Coverage is 45.77 as of Jun. 2026, which is 67% above its 10-year median of 27.42. GuruFocus rates HTHIY with a GF Score™ of 81/100 and a GF Value™ of $28.38 (Modestly Overvalued). The stock has 3 warning signs investors should review. Among 422 Conglomerates companies, Hitachi ranks better than 84.12% 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. Hitachi's
Operating Income
for the
three
months ended in Jun. 2026 was $1,830 Mil. Hitachi's Interest Expense for the
three
months ended in Jun. 2026 was $-40 Mil.
Hitachi's interest coverage for the quarter that ended in Jun. 2026 was 45.77.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Hitachi's Interest Coverage or its related term are showing as below:
HTHIY'
s Interest Coverage Range Over the Past 10 Years
Min: 10.66 Med: 27.42 Max: 42.83
Current: 42.83
HTHIY's Interest Coverage is ranked better than 84.12% of 422
companies
in the Conglomerates industry
Industry Median: 5.435
vs HTHIY: 42.83
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 .
Hitachi Interest Coverage Related Terms
Hitachi Interest Coverage Historical Data
* Premium members only.
The historical data trend for Hitachi'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.
For the Conglomerates subindustry, Hitachi'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.
Hitachi Interest Coverage vs Conglomerates Industry
For the Conglomerates industry and Industrials sector, Hitachi's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Hitachi's Interest Coverage falls into.
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.
Hitachi (HTHIY) has a Interest Coverage of 45.77 as of Jun. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Hitachi and its competitors. This is 67% above median its historical median of 27.42. Over the past decade, Hitachi's Interest Coverage has ranged from 10.66 to 42.83. According to the industry distribution chart, Hitachi ranks #67 out of 422 companies in the Conglomerates industry, placing it in the top 15.9%.
Is Hitachi's Interest Coverage too high?
Hitachi's current Interest Coverage of 45.77 is 67% above median its 10-year median of 27.42. Over the past 10 years, this metric has ranged from a low of 10.66 to a high of 42.83. The Conglomerates industry median Interest Coverage is 5.44. Hitachi's value of 45.77 is 742.1% above this industry median. Based on the distribution chart, Hitachi ranks #67 out of 422 companies in the Conglomerates industry, which is in the top quartile — a strong position relative to peers. Overall, Hitachi has a GF Score™ of 81/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Hitachi's Interest Coverage compare to MMM and HON?
According to the Conglomerates industry distribution chart, Hitachi ranks #67 out of 422 companies for Interest Coverage. This places Hitachi in the top 16% of its industry — outperforming the majority of peers. The industry median Interest Coverage is 5.44. Hitachi's value of 45.77 is 742.1% above this benchmark. Historically, Hitachi's own Interest Coverage has ranged from 10.66 to 42.83 over the past decade. While the company's 10-year median is 27.42 vs. the industry median of 5.44, Hitachi 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 Conglomerates company?
The median Interest Coverage among Conglomerates companies is 5.44, based on 422 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. Hitachi's current Interest Coverage of 45.77 is 742.1% 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 Hitachi and its competitors. For the Conglomerates industry, the median Interest Coverage is 5.44 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hitachi's current Interest Coverage is 45.77, which is 67% above median its own 10-year median of 27.42. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hitachi stock overvalued right now?
Based on GuruFocus' analysis, Hitachi (HTHIY) is currently considered Modestly Overvalued. The stock's GF Value™ is $28.38, compared to a current price of $32.70 — trading 15.2% above its estimated fair value. The current Interest Coverage is 45.77, which is 67% above median its 10-year median of 27.42 and 742.1% above the Conglomerates industry median of 5.44. Hitachi's overall GF Score™ is 81/100 with 3 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 Hitachi (HTHIY), the current Interest Coverage is 45.77 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 Hitachi (HTHIY) Overvalued in 2026?
Based on GuruFocus' analysis, Hitachi stock appears to be overvalued.
The current stock price of $32.70 is trading 15.2% above its estimated GF Value™ of $28.38.
GuruFocus considers Hitachi to be Modestly Overvalued.
Key valuation signals for HTHIY:
Interest Coverage: 45.77 (67% above median its 10-year median of 27.42)
GF Value™: $28.38 vs. price of $32.70 (15.2% above fair value)
Industry Position: 742.1% above the Conglomerates median (#67 of 422)
No single metric tells the full story. See the HTHIY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Hitachi Ltd is engaged in diverse businesses spanning industries, energy, IT, and real estate. The company operates through four business segments. The Connective Industries segment covers elevators, escalators, home appliances, air conditioning, semiconductor manufacturing equipment, medical analyzers, industrial and distribution solutions, water and environmental solutions, and industrial equipment. The Digital Systems & Services segment offers system integration, consulting, cloud services, IT products, software, and ATMs. The Green Energy & Mobility segment focuses on power grids, renewable energy, nuclear power, and railway systems. The Others include real estate management, sales, and leasing. It generates the majority of its revenue from the Green Energy & Mobility segment.
81GF Score
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