Zozo (SRTTY) Interest Coverage: 248.79 (As of Mar. 2026) — 62% Below Median


SRTTY Zozo Inc SRTTY
86 GF Score
Price $6.76
GF Value $8.85
Valuation Modestly Undervalued
! 2 Warning Signs
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What is Zozo Interest Coverage?

Zozo SRTTY +0.37% 86 Interest Coverage is 248.79 as of Mar. 2026, which is 62% below its 10-year median of 646.46. GuruFocus rates SRTTY with a GF Score™ of 86/100 and a GF Value™ of $8.85 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 827 Retail - Cyclical companies, Zozo ranks better than 92.62% 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. Zozo's Operating Income for the three months ended in Mar. 2026 was $91 Mil. Zozo's Interest Expense for the three months ended in Mar. 2026 was $-0 Mil. Zozo's interest coverage for the quarter that ended in Mar. 2026 was 248.79. The higher the ratio, the stronger the company's financial strength is.

Good Sign:

Ben Graham prefers companies' interest coverage to be at least 5. Zozo Inc has enough cash to cover all of its debt. Its financial situation is stable.

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

SRTTY' s Interest Coverage Range Over the Past 10 Years
Min: 270.98   Med: 646.46   Max: 6572
Current: 270.98


SRTTY's Interest Coverage is ranked better than
92.62% of 827 companies
in the Retail - Cyclical industry
Industry Median: 7.91 vs SRTTY: 270.98

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


Zozo  (OTCPK:SRTTY) 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 .


Zozo Interest Coverage Related Terms


Zozo Interest Coverage Historical Data

* Premium members only.

The historical data trend for Zozo'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.

Zozo Interest Coverage Chart

Zozo 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 671.17 722.88 780.26 514.18 271.03

Zozo Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 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 317.19 268.59 172.48 449.87 248.79

SRTTY vs AMZN, BABA, PDD: Interest Coverage Comparison

For the Internet Retail subindustry, Zozo'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.


Zozo Interest Coverage vs Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Zozo's Interest Coverage distribution charts can be found below:

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


SRTTY
86GF Score
Zozo Inc SRTTY
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Zozo 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.

Zozo'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, Zozo's Interest Expense was $-2 Mil. Its Operating Income was $437 Mil. And its Long-Term Debt & Capital Lease Obligation was $0 Mil.

Interest Coverage=-1* Operating Income (A: Mar. 2026 )/Interest Expense (A: Mar. 2026 )
=-1*437.168/-1.613
=271.03

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

Here, for the three months ended in Mar. 2026, Zozo's Interest Expense was $-0 Mil. Its Operating Income was $91 Mil. And its Long-Term Debt & Capital Lease Obligation was $0 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*91.056/-0.366
=248.79

* 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 248.79 mean?
Zozo (SRTTY) has a Interest Coverage of 248.79 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Zozo and its competitors. This is 62% below median its historical median of 646.46. Over the past decade, Zozo's Interest Coverage has ranged from 270.98 to 6,572.00. According to the industry distribution chart, Zozo ranks #61 out of 827 companies in the Retail - Cyclical industry, placing it in the top 7.4%.
Is Zozo's Interest Coverage too high?
Zozo's current Interest Coverage of 248.79 is 62% below median its 10-year median of 646.46. Over the past 10 years, this metric has ranged from a low of 270.98 to a high of 6,572.00. The Retail - Cyclical industry median Interest Coverage is 7.91. Zozo's value of 248.79 is 3045.3% above this industry median. Based on the distribution chart, Zozo ranks #61 out of 827 companies in the Retail - Cyclical industry, which is in the top quartile — a strong position relative to peers. Overall, Zozo has a GF Score™ of 86/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Zozo's Interest Coverage compare to AMZN and BABA?
According to the Retail - Cyclical industry distribution chart, Zozo ranks #61 out of 827 companies for Interest Coverage. This places Zozo in the top 7% of its industry — outperforming the majority of peers. The industry median Interest Coverage is 7.91. Zozo's value of 248.79 is 3045.3% above this benchmark. Historically, Zozo's own Interest Coverage has ranged from 270.98 to 6,572.00 over the past decade. While the company's 10-year median is 646.46 vs. the industry median of 7.91, Zozo 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 Retail - Cyclical company?
The median Interest Coverage among Retail - Cyclical companies is 7.91, based on 827 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. Zozo's current Interest Coverage of 248.79 is 3045.3% 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 Zozo and its competitors. For the Retail - Cyclical industry, the median Interest Coverage is 7.91 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Zozo's current Interest Coverage is 248.79, which is 62% below median its own 10-year median of 646.46. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Zozo stock overvalued right now?
Based on GuruFocus' analysis, Zozo (SRTTY) is currently considered Modestly Undervalued. The stock's GF Value™ is $8.85, compared to a current price of $6.76 — trading 23.6% below its estimated fair value. The current Interest Coverage is 248.79, which is 62% below median its 10-year median of 646.46 and 3045.3% above the Retail - Cyclical industry median of 7.91. Zozo's overall GF Score™ is 86/100 with 2 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 Zozo (SRTTY), the current Interest Coverage is 248.79 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 Zozo (SRTTY) Overvalued in 2026?

Based on GuruFocus' analysis, Zozo stock appears to be undervalued. The current stock price of $6.76 is trading 23.6% below its estimated GF Value™ of $8.85. GuruFocus considers Zozo to be Modestly Undervalued.

Key valuation signals for SRTTY:

  • Interest Coverage: 248.79 (62% below median its 10-year median of 646.46)
  • GF Value™: $8.85 vs. price of $6.76 (23.6% below fair value)
  • GF Score™: 86/100 with 2 warning signs
  • Industry Position: 3045.3% above the Retail - Cyclical median (#61 of 827)

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


Zozo Business Description

Address 1-15-16 Midori-cho, Inage-ku, Chiba, JPN, 263-0023
Zozo, established in 1998 by Yusaku Maezawa, operates Zozotown, Japan's largest fashion e-commerce platform. Zozotown runs primarily on a consignment model, where brands stock products at Zozo's logistics bases and operate shops as tenants. As of 2025, Zozotown hosts over 11,000 brands and 12.5 million active users. Beyond its core domestic business, Zozo is expanding into adjacent categories such as skincare, cosmetics, and fragrance (near fashion), and internationally through Lyst, a UK-based luxury fashion platform acquired in 2025, and Zozofit, a body measurement app.
86GF Score

Get the complete analysis for SRTTY

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

$6.76
Price
$8.85
GF Value