Japan Hotel REIT InvestmentNIPOF 75 Interest Coverage is 9.77 as of Dec. 2025, which is 25% below its 10-year median of 13.09. GuruFocus rates NIPOF with a GF Score™ of 75/100 and a GF Value™ of $755.11 (Possible Value Trap). The stock has 5 warning signs investors should review. Among 701 REITs companies, Japan Hotel REIT Investment ranks better than 78.03% 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. Japan Hotel REIT Investment's
Operating Income
for the
six
months ended in Dec. 2025 was $106.4 Mil. Japan Hotel REIT Investment's Interest Expense for the
six
months ended in Dec. 2025 was $-10.9 Mil.
Japan Hotel REIT Investment's interest coverage for the quarter that ended in Dec. 2025 was 9.77.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Japan Hotel REIT Investment's Interest Coverage or its related term are showing as below:
NIPOF'
s Interest Coverage Range Over the Past 10 Years
Min: 2.42 Med: 13.09 Max: 16.9
Current: 9.96
NIPOF's Interest Coverage is ranked better than 78.03% of 701
companies
in the REITs industry
Industry Median: 3.12
vs NIPOF: 9.96
Japan Hotel REIT Investment (OTCPK:NIPOF) 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 .
Japan Hotel REIT Investment Interest Coverage Related Terms
Japan Hotel REIT Investment Interest Coverage Historical Data
* 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.
Japan Hotel REIT Investment Interest Coverage Chart
NIPOF vs HST, RHP, APLE: Interest Coverage Comparison
For the REIT - Hotel & Motel subindustry, Japan Hotel REIT Investment'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.
Japan Hotel REIT Investment Interest Coverage vs REITs Industry
For the REITs industry and Real Estate sector, Japan Hotel REIT Investment's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Japan Hotel REIT Investment's Interest Coverage falls into.
Japan Hotel REIT Investment 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.
Japan Hotel REIT Investment (NIPOF) has a Interest Coverage of 9.77 as of Dec. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Japan Hotel REIT Investment and its competitors. This is 25% below median its historical median of 13.09. Over the past decade, Japan Hotel REIT Investment's Interest Coverage has ranged from 2.42 to 16.90. According to the industry distribution chart, Japan Hotel REIT Investment ranks #154 out of 701 companies in the REITs industry, placing it in the top 22%.
Is Japan Hotel REIT Investment's Interest Coverage too high?
Japan Hotel REIT Investment's current Interest Coverage of 9.77 is 25% below median its 10-year median of 13.09. Over the past 10 years, this metric has ranged from a low of 2.42 to a high of 16.90. The REITs industry median Interest Coverage is 3.12. Japan Hotel REIT Investment's value of 9.77 is 213.1% above this industry median. Based on the distribution chart, Japan Hotel REIT Investment ranks #154 out of 701 companies in the REITs industry, which is in the top quartile — a strong position relative to peers. Overall, Japan Hotel REIT Investment has a GF Score™ of 75/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Japan Hotel REIT Investment's Interest Coverage compare to HST and RHP?
According to the REITs industry distribution chart, Japan Hotel REIT Investment ranks #154 out of 701 companies for Interest Coverage. This places Japan Hotel REIT Investment in the top 22% of its industry — outperforming the majority of peers. The industry median Interest Coverage is 3.12. Japan Hotel REIT Investment's value of 9.77 is 213.1% above this benchmark. Historically, Japan Hotel REIT Investment's own Interest Coverage has ranged from 2.42 to 16.90 over the past decade. While the company's 10-year median is 13.09 vs. the industry median of 3.12, Japan Hotel REIT Investment 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 REITs company?
The median Interest Coverage among REITs companies is 3.12, based on 701 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. Japan Hotel REIT Investment's current Interest Coverage of 9.77 is 213.1% 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 Japan Hotel REIT Investment and its competitors. For the REITs industry, the median Interest Coverage is 3.12 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Japan Hotel REIT Investment's current Interest Coverage is 9.77, which is 25% below median its own 10-year median of 13.09. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Japan Hotel REIT Investment stock overvalued right now?
Based on GuruFocus' analysis, Japan Hotel REIT Investment (NIPOF) is currently considered Possible Value Trap. The stock's GF Value™ is $755.11, compared to a current price of $471.74 — trading 37.5% below its estimated fair value. The current Interest Coverage is 9.77, which is 25% below median its 10-year median of 13.09 and 213.1% above the REITs industry median of 3.12. Japan Hotel REIT Investment's overall GF Score™ is 75/100 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 Japan Hotel REIT Investment (NIPOF), the current Interest Coverage is 9.77 as of Dec. 2025. 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 Japan Hotel REIT Investment (NIPOF) Overvalued in 2026?
Based on GuruFocus' analysis, Japan Hotel REIT Investment stock appears to be undervalued.
The current stock price of $471.74 is trading 37.5% below its estimated GF Value™ of $755.11.
GuruFocus considers Japan Hotel REIT Investment to be Possible Value Trap.
Key valuation signals for NIPOF:
Interest Coverage: 9.77 (25% below median its 10-year median of 13.09)
GF Value™: $755.11 vs. price of $471.74 (37.5% below fair value)
Industry Position: 213.1% above the REITs median (#154 of 701)
No single metric tells the full story. See the NIPOF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Japan Hotel REIT Investment Corp is a real estate investment trust. It aims to achieve stable earnings and sustainable growth in the asset from mid- to long-term perspectives. The company invests in business hotels, resort hotels, and city hotels, mainly located in the metropolitan areas and other cities of Japan.
75GF Score
Get the complete analysis for NIPOF
Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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