Kumagai Gumi CoKMGGF +0.87%79 Interest Coverage is 31.83 as of Mar. 2026, which is 65% below its 10-year median of 91.75. GuruFocus rates KMGGF with a GF Score™ of 79/100 and a GF Value™ of $8.45. The stock has 5 warning signs investors should review. Among 1,351 Construction companies, Kumagai Gumi Co ranks better than 73.06% 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. Kumagai Gumi Co's
Operating Income
for the
three
months ended in Mar. 2026 was $61 Mil. Kumagai Gumi Co's Interest Expense for the
three
months ended in Mar. 2026 was $-2 Mil.
Kumagai Gumi Co's interest coverage for the quarter that ended in Mar. 2026 was 31.83.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Kumagai Gumi Co's Interest Coverage or its related term are showing as below:
KMGGF'
s Interest Coverage Range Over the Past 10 Years
Min: 25.04 Med: 91.75 Max: 147.74
Current: 27.15
KMGGF's Interest Coverage is ranked better than 73.06% of 1351
companies
in the Construction industry
Industry Median: 7.81
vs KMGGF: 27.15
Kumagai Gumi Co (OTCPK:KMGGF) 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 .
Kumagai Gumi Co Interest Coverage Related Terms
Kumagai Gumi Co Interest Coverage Historical Data
* Premium members only.
The historical data trend for Kumagai Gumi Co'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.
KMGGF vs PWR, FIX, EME: Interest Coverage Comparison
For the Engineering & Construction subindustry, Kumagai Gumi Co'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.
Kumagai Gumi Co Interest Coverage vs Construction Industry
For the Construction industry and Industrials sector, Kumagai Gumi Co's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Kumagai Gumi Co'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.
Kumagai Gumi Co (KMGGF) has a Interest Coverage of 31.83 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Kumagai Gumi Co and its competitors. This is 65% below median its historical median of 91.75. Over the past decade, Kumagai Gumi Co's Interest Coverage has ranged from 25.04 to 147.74. According to the industry distribution chart, Kumagai Gumi Co ranks #364 out of 1351 companies in the Construction industry, placing it in the top 26.9%.
Is Kumagai Gumi Co's Interest Coverage too high?
Kumagai Gumi Co's current Interest Coverage of 31.83 is 65% below median its 10-year median of 91.75. Over the past 10 years, this metric has ranged from a low of 25.04 to a high of 147.74. The Construction industry median Interest Coverage is 7.81. Kumagai Gumi Co's value of 31.83 is 307.6% above this industry median. Based on the distribution chart, Kumagai Gumi Co ranks #364 out of 1351 companies in the Construction industry, which is above the industry midpoint. Overall, Kumagai Gumi Co has a GF Score™ of 79/100, reflecting its overall financial health beyond just this single metric.
How does Kumagai Gumi Co's Interest Coverage compare to PWR and FIX?
According to the Construction industry distribution chart, Kumagai Gumi Co ranks #364 out of 1351 companies for Interest Coverage. This puts Kumagai Gumi Co in the upper half of its industry. The industry median Interest Coverage is 7.81. Kumagai Gumi Co's value of 31.83 is 307.6% above this benchmark. Historically, Kumagai Gumi Co's own Interest Coverage has ranged from 25.04 to 147.74 over the past decade. While the company's 10-year median is 91.75 vs. the industry median of 7.81, Kumagai Gumi Co 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 Construction company?
The median Interest Coverage among Construction companies is 7.81, based on 1,351 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. Kumagai Gumi Co's current Interest Coverage of 31.83 is 307.6% 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 Kumagai Gumi Co and its competitors. For the Construction industry, the median Interest Coverage is 7.81 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kumagai Gumi Co's current Interest Coverage is 31.83, which is 65% below median its own 10-year median of 91.75. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kumagai Gumi Co stock overvalued right now?
Kumagai Gumi Co (KMGGF) has a current Interest Coverage of 31.83. The stock's GF Value™ is $8.45, compared to a current price of $8.70 — trading 3% above its estimated fair value. The current Interest Coverage is 31.83, which is 65% below median its 10-year median of 91.75 and 307.6% above the Construction industry median of 7.81. Kumagai Gumi Co's overall GF Score™ is 79/100 with 5 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 Kumagai Gumi Co (KMGGF), the current Interest Coverage is 31.83 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 Kumagai Gumi Co (KMGGF) Overvalued in 2026?
Based on GuruFocus' analysis, Kumagai Gumi Co stock appears to be overvalued.
The current stock price of $8.70 is trading 3% above its estimated GF Value™ of $8.45.
Key valuation signals for KMGGF:
Interest Coverage: 31.83 (65% below median its 10-year median of 91.75)
GF Value™: $8.45 vs. price of $8.70 (3% above fair value)
Industry Position: 307.6% above the Construction median (#364 of 1351)
No single metric tells the full story. See the KMGGF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Kumagai Gumi Co Ltd is a Japanese company that provides services in construction and civil engineering. The company analyzes, designs, and supervises complex construction projects. It also offers engineering and technical services throughout the construction process. These projects include roads, railways, airports, water systems, and other public facilities. In addition, the company is engaged in manufacturing and selling construction materials and machinery. Construction activities account for the majority of revenue. The company generates additional revenue from developing residential and commercial complexes and either operating the building or acting as a broker and selling the real estate.
79GF Score
Get the complete analysis for KMGGF
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