E J Holdings (TSE:2153) Interest Coverage: 24.21 (As of Feb. 2026) — 86% Below Median

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Founder & CEO of GuruFocus
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TSE:2153 E J Holdings Inc TSE:2153
63 GF Score
Price 円1,767.00
GF Value 円1,774.58
Valuation Fairly Valued
! 5 Warning Signs
View Full Analysis

What is E J Holdings Interest Coverage?

E J Holdings TSE:2153 -1.45% 63 Interest Coverage is 24.21 as of Feb. 2026, which is 86% below its 10-year median of 172.44. GuruFocus rates TSE:2153 with a GF Score™ of 63/100 and a GF Value™ of 円1,774.58 (Fairly Valued). The stock has 5 warning signs investors should review. Among 1,359 Construction companies, E J Holdings ranks better than 80.65% 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. E J Holdings's Operating Income for the three months ended in Feb. 2026 was 円702 Mil. E J Holdings's Interest Expense for the three months ended in Feb. 2026 was 円-29 Mil. E J Holdings's interest coverage for the quarter that ended in Feb. 2026 was 24.21. 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. E J Holdings Inc has enough cash to cover all of its debt. Its financial situation is stable.

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

TSE:2153' s Interest Coverage Range Over the Past 10 Years
Min: 50.29   Med: 172.44   Max: 408.82
Current: 50.29


TSE:2153's Interest Coverage is ranked better than
80.65% of 1359 companies
in the Construction industry
Industry Median: 7.81 vs TSE:2153: 50.29

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


E J Holdings  (TSE:2153) 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 .


E J Holdings Interest Coverage Related Terms


E J Holdings Interest Coverage Historical Data

* Premium members only.

The historical data trend for E J Holdings'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.

E J Holdings Interest Coverage Chart

E J Holdings Annual Data
Trend May17 May18 May19 May20 May21 May22 May23 May24 May25 May26
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 408.82 371.42 335.08 77.40 50.29

E J Holdings Quarterly Data
Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24 May24 Aug24 Nov24 Feb25 May25 Aug25 Nov25 Feb26 May26
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 218.04 0.00 0.00 24.21 184.30

TSE:2153 vs PWR, FIX, EME: Interest Coverage Comparison

For the Engineering & Construction subindustry, E J Holdings'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.


E J Holdings Interest Coverage vs Construction Industry

For the Construction industry and Industrials sector, E J Holdings's Interest Coverage distribution charts can be found below:

* The bar in red indicates where E J Holdings's Interest Coverage falls into.


TSE:2153
63GF Score
E J Holdings Inc TSE:2153
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

E J Holdings 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.

E J Holdings's Interest Coverage for the fiscal year that ended in May. 2026 is calculated as

Here, for the fiscal year that ended in May. 2026, E J Holdings's Interest Expense was 円-93 Mil. Its Operating Income was 円4,677 Mil. And its Long-Term Debt & Capital Lease Obligation was 円6,288 Mil.

Interest Coverage=-1* Operating Income (A: May. 2026 )/Interest Expense (A: May. 2026 )
=-1*4677/-93
=50.29

E J Holdings's Interest Coverage for the quarter that ended in Feb. 2026 is calculated as

Here, for the three months ended in Feb. 2026, E J Holdings's Interest Expense was 円-29 Mil. Its Operating Income was 円702 Mil. And its Long-Term Debt & Capital Lease Obligation was 円6,486 Mil.

Interest Coverage=-1* Operating Income (Q: Feb. 2026 )/Interest Expense (Q: Feb. 2026 )
=-1*702/-29
=24.21

* 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 24.21 mean?
E J Holdings (TSE:2153) has a Interest Coverage of 24.21 as of Feb. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on E J Holdings and its competitors. This is 86% below median its historical median of 172.44. Over the past decade, E J Holdings' Interest Coverage has ranged from 50.29 to 408.82. According to the industry distribution chart, E J Holdings ranks #263 out of 1359 companies in the Construction industry, placing it in the top 19.4%.
Is E J Holdings' Interest Coverage too high?
E J Holdings' current Interest Coverage of 24.21 is 86% below median its 10-year median of 172.44. Over the past 10 years, this metric has ranged from a low of 50.29 to a high of 408.82. The Construction industry median Interest Coverage is 7.81. E J Holdings' value of 24.21 is 210% above this industry median. Based on the distribution chart, E J Holdings ranks #263 out of 1359 companies in the Construction industry, which is in the top quartile — a strong position relative to peers. Overall, E J Holdings has a GF Score™ of 63/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does E J Holdings' Interest Coverage compare to PWR and FIX?
According to the Construction industry distribution chart, E J Holdings ranks #263 out of 1359 companies for Interest Coverage. This places E J Holdings in the top 19% of its industry — outperforming the majority of peers. The industry median Interest Coverage is 7.81. E J Holdings' value of 24.21 is 210% above this benchmark. Historically, E J Holdings' own Interest Coverage has ranged from 50.29 to 408.82 over the past decade. While the company's 10-year median is 172.44 vs. the industry median of 7.81, E J Holdings 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 1,359 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. E J Holdings's current Interest Coverage of 24.21 is 210% 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 E J Holdings 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. E J Holdings's current Interest Coverage is 24.21, which is 86% below median its own 10-year median of 172.44. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is E J Holdings stock overvalued right now?
Based on GuruFocus' analysis, E J Holdings (TSE:2153) is currently considered Fairly Valued. The stock's GF Value™ is 円1,774.58, compared to a current price of 円1,767.00 — trading 0.4% below its estimated fair value. The current Interest Coverage is 24.21, which is 86% below median its 10-year median of 172.44 and 210% above the Construction industry median of 7.81. E J Holdings' overall GF Score™ is 63/100 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 E J Holdings (TSE:2153), the current Interest Coverage is 24.21 as of Feb. 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 E J Holdings (TSE:2153) Overvalued in 2026?

Based on GuruFocus' analysis, E J Holdings stock appears to be undervalued. The current stock price of 円1,767.00 is trading 0.4% below its estimated GF Value™ of 円1,774.58. GuruFocus considers E J Holdings to be Fairly Valued.

Key valuation signals for TSE:2153:

  • Interest Coverage: 24.21 (86% below median its 10-year median of 172.44)
  • GF Value™: 円1,774.58 vs. price of 円1,767.00 (0.4% below fair value)
  • GF Score™: 63/100 with 5 warning signs
  • Industry Position: 210% above the Construction median (#263 of 1359)

No single metric tells the full story. See the TSE:2153 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


E J Holdings Business Description

Address 3 - chome 1-21 Tsujima - kyo cho Kita - ku, Okayama, JPN, 700 - 0087
E J Holdings Inc is a business service provider. The business of the company includes planning, managing, and supervising business execution of affiliated companies, and oversee the management of entire group.
63GF Score

Get the complete analysis for TSE:2153

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

円1,767.00
Price
円1,774.58
GF Value