Nikko Co (NGO:5343) Interest Coverage: 38.69 (As of Mar. 2026) — 449% Above Median


NGO:5343 Nikko Co NGO:5343
57 GF Score
Price 円187.00
GF Value 円134.84
Valuation Significantly Overvalued
! 3 Warning Signs
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What is Nikko Co Interest Coverage?

Nikko Co NGO:5343 +0.54% 57 Interest Coverage is 38.69 as of Mar. 2026, which is 449% above its 10-year median of 7.05. GuruFocus rates NGO:5343 with a GF Score™ of 57/100 and a GF Value™ of 円134.84 (Significantly Overvalued). The stock has 3 warning signs investors should review. Among 2,320 Industrial Products companies, Nikko Co ranks better than 63.97% 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. Nikko Co's Operating Income for the six months ended in Mar. 2026 was 円503 Mil. Nikko Co's Interest Expense for the six months ended in Mar. 2026 was 円-13 Mil. Nikko Co's interest coverage for the quarter that ended in Mar. 2026 was 38.69. The higher the ratio, the stronger the company's financial strength is.

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

NGO:5343' s Interest Coverage Range Over the Past 10 Years
Min: 1.83   Med: 7.05   Max: 30.17
Current: 30.17


NGO:5343's Interest Coverage is ranked better than
63.97% of 2320 companies
in the Industrial Products industry
Industry Median: 14.88 vs NGO:5343: 30.17

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


Nikko Co  (NGO:5343) 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 .


Nikko Co Interest Coverage Related Terms


Nikko Co Interest Coverage Historical Data

* Premium members only.

The historical data trend for Nikko 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.

Nikko Co Interest Coverage Chart

Nikko Co Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.00 0.00 7.05 17.48 30.17

Nikko Co Semi-Annual Data
Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25 Mar26
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 32.09 3.30 30.36 20.09 38.69

NGO:5343 vs GEV, ETN, PH: Interest Coverage Comparison

For the Specialty Industrial Machinery subindustry, Nikko 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.


Nikko Co Interest Coverage vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, Nikko Co's Interest Coverage distribution charts can be found below:

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


NGO:5343
57GF Score
Nikko Co NGO:5343
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Nikko Co 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.

Nikko Co's Interest Coverage for the fiscal year that ended in Mar. 2026 is calculated as

Here, for the fiscal year that ended in Mar. 2026, Nikko Co's Interest Expense was 円-24 Mil. Its Operating Income was 円724 Mil. And its Long-Term Debt & Capital Lease Obligation was 円550 Mil.

Interest Coverage=-1* Operating Income (A: Mar. 2026 )/Interest Expense (A: Mar. 2026 )
=-1*724/-24
=30.17

Nikko Co's Interest Coverage for the quarter that ended in Mar. 2026 is calculated as

Here, for the six months ended in Mar. 2026, Nikko Co's Interest Expense was 円-13 Mil. Its Operating Income was 円503 Mil. And its Long-Term Debt & Capital Lease Obligation was 円550 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*503/-13
=38.69

* 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 38.69 mean?
Nikko Co (NGO:5343) has a Interest Coverage of 38.69 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Nikko Co and its competitors. This is 449% above median its historical median of 7.05. Over the past decade, Nikko Co's Interest Coverage has ranged from 1.83 to 30.17. According to the industry distribution chart, Nikko Co ranks #836 out of 2320 companies in the Industrial Products industry, placing it in the top 36%.
Is Nikko Co's Interest Coverage too high?
Nikko Co's current Interest Coverage of 38.69 is 449% above median its 10-year median of 7.05. Over the past 10 years, this metric has ranged from a low of 1.83 to a high of 30.17. The Industrial Products industry median Interest Coverage is 14.88. Nikko Co's value of 38.69 is 160% above this industry median. Based on the distribution chart, Nikko Co ranks #836 out of 2320 companies in the Industrial Products industry, which is above the industry midpoint. Overall, Nikko Co has a GF Score™ of 57/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Nikko Co's Interest Coverage compare to GEV and ETN?
According to the Industrial Products industry distribution chart, Nikko Co ranks #836 out of 2320 companies for Interest Coverage. This puts Nikko Co in the upper half of its industry. The industry median Interest Coverage is 14.88. Nikko Co's value of 38.69 is 160% above this benchmark. Historically, Nikko Co's own Interest Coverage has ranged from 1.83 to 30.17 over the past decade. While the company's 10-year median is 7.05 vs. the industry median of 14.88, Nikko 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 an Industrial Products company?
The median Interest Coverage among Industrial Products companies is 14.88, based on 2,320 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. Nikko Co's current Interest Coverage of 38.69 is 160% 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 Nikko Co and its competitors. For the Industrial Products industry, the median Interest Coverage is 14.88 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Nikko Co's current Interest Coverage is 38.69, which is 449% above median its own 10-year median of 7.05. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nikko Co stock overvalued right now?
Based on GuruFocus' analysis, Nikko Co (NGO:5343) is currently considered Significantly Overvalued. The stock's GF Value™ is 円134.84, compared to a current price of 円187.00 — trading 38.7% above its estimated fair value. The current Interest Coverage is 38.69, which is 449% above median its 10-year median of 7.05 and 160% above the Industrial Products industry median of 14.88. Nikko Co's overall GF Score™ is 57/100 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 Nikko Co (NGO:5343), the current Interest Coverage is 38.69 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 Nikko Co (NGO:5343) Overvalued in 2026?

Based on GuruFocus' analysis, Nikko Co stock appears to be overvalued. The current stock price of 円187.00 is trading 38.7% above its estimated GF Value™ of 円134.84. GuruFocus considers Nikko Co to be Significantly Overvalued.

Key valuation signals for NGO:5343:

  • Interest Coverage: 38.69 (449% above median its 10-year median of 7.05)
  • GF Value™: 円134.84 vs. price of 円187.00 (38.7% above fair value)
  • GF Score™: 57/100 with 3 warning signs
  • Industry Position: 160% above the Industrial Products median (#836 of 2320)

No single metric tells the full story. See the NGO:5343 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Nikko Co Business Description

Address Sumitomo Real Estate Chiyoda, First Wing 2F, 2-36-1 Kanda Jinbocho, Chiyoda-ku, Tokyo, JPN, 9248686
Nikko Co is engaged in manufacturing hosing and environmental equipment.
57GF Score

Get the complete analysis for NGO:5343

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

円187.00
Price
円134.84
GF Value