Ecomott (TSE:3987) Interest Coverage: 0.31 (As of Feb. 2026) — 96% Below Median


TSE:3987 Ecomott Inc TSE:3987
64 GF Score
Price 円579.00
GF Value 円482.55
Valuation Modestly Overvalued
! 10 Warning Signs
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What is Ecomott Interest Coverage?

Ecomott TSE:3987 -0.17% 64 Interest Coverage is 0.31 as of Feb. 2026, which is 96% below its 10-year median of 8.68. GuruFocus rates TSE:3987 with a GF Score™ of 64/100 and a GF Value™ of 円482.55 (Modestly Overvalued). The stock has 10 warning signs investors should review. Among 1,704 Software companies, Ecomott ranks worse than 98.3% 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. Ecomott's Operating Income for the six months ended in Feb. 2026 was 円2 Mil. Ecomott's Interest Expense for the six months ended in Feb. 2026 was 円-8 Mil. Ecomott's interest coverage for the quarter that ended in Feb. 2026 was 0.31. The higher the ratio, the stronger the company's financial strength is.

Warning Sign:

Ben Graham prefers companies' interest coverage to be at least 5. Ecomott Incs earnings cannot cover its interest expense. If the situation continues, the company may have to issue more debt.

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

TSE:3987' s Interest Coverage Range Over the Past 10 Years
Min: 0.45   Med: 8.68   Max: 47.69
Current: 0.45


TSE:3987's Interest Coverage is ranked worse than
98.3% of 1704 companies
in the Software industry
Industry Median: 24.625 vs TSE:3987: 0.45

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


Ecomott  (TSE:3987) 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 .


Ecomott Interest Coverage Related Terms


Ecomott Interest Coverage Historical Data

* Premium members only.

The historical data trend for Ecomott'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.

Ecomott Interest Coverage Chart

Ecomott Annual Data
Trend Mar16 Mar17 Mar18 Mar19 Mar20 Aug21 Aug22 Aug23 Aug24 Aug25
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 16.94 6.55 0.00 0.91 3.54

Ecomott Semi-Annual Data
Mar16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Feb21 Aug21 Feb22 Aug22 Feb23 Aug23 Feb24 Aug24 Feb25 Aug25 Feb26
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 0.95 0.88 7.34 0.59 0.31

TSE:3987 vs MSFT, ORCL, PLTR: Interest Coverage Comparison

For the Software - Infrastructure subindustry, Ecomott'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.


Ecomott Interest Coverage vs Software Industry

For the Software industry and Technology sector, Ecomott's Interest Coverage distribution charts can be found below:

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


TSE:3987
64GF Score
Ecomott Inc TSE:3987
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Ecomott 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.

Ecomott's Interest Coverage for the fiscal year that ended in Aug. 2025 is calculated as

Here, for the fiscal year that ended in Aug. 2025, Ecomott's Interest Expense was 円-14 Mil. Its Operating Income was 円50 Mil. And its Long-Term Debt & Capital Lease Obligation was 円340 Mil.

Interest Coverage=-1* Operating Income (A: Aug. 2025 )/Interest Expense (A: Aug. 2025 )
=-1*49.622/-14.003
=3.54

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

Here, for the six months ended in Feb. 2026, Ecomott's Interest Expense was 円-8 Mil. Its Operating Income was 円2 Mil. And its Long-Term Debt & Capital Lease Obligation was 円281 Mil.

Interest Coverage=-1* Operating Income (Q: Feb. 2026 )/Interest Expense (Q: Feb. 2026 )
=-1*2.456/-7.812
=0.31

* 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 0.31 mean?
Ecomott (TSE:3987) has a Interest Coverage of 0.31 as of Feb. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Ecomott and its competitors. This is 96% below median its historical median of 8.68. Over the past decade, Ecomott's Interest Coverage has ranged from 0.45 to 47.69. According to the industry distribution chart, Ecomott ranks #1675 out of 1704 companies in the Software industry, placing it in the top 98.3%.
Is Ecomott's Interest Coverage too high?
Ecomott's current Interest Coverage of 0.31 is 96% below median its 10-year median of 8.68. Over the past 10 years, this metric has ranged from a low of 0.45 to a high of 47.69. The Software industry median Interest Coverage is 24.63. Ecomott's value of 0.31 is 98.7% below this industry median. Based on the distribution chart, Ecomott ranks #1675 out of 1704 companies in the Software industry, which is in the bottom quartile relative to peers. Overall, Ecomott has a GF Score™ of 64/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Ecomott's Interest Coverage compare to MSFT and ORCL?
According to the Software industry distribution chart, Ecomott ranks #1675 out of 1704 companies for Interest Coverage. This places Ecomott in the lower half of its industry. The industry median Interest Coverage is 24.63. Ecomott's value of 0.31 is 98.7% below this benchmark. Historically, Ecomott's own Interest Coverage has ranged from 0.45 to 47.69 over the past decade. While the company's 10-year median is 8.68 vs. the industry median of 24.63, Ecomott has consistently been below 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 Software company?
The median Interest Coverage among Software companies is 24.63, based on 1,704 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. Ecomott's current Interest Coverage of 0.31 is 98.7% below 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 Ecomott and its competitors. For the Software industry, the median Interest Coverage is 24.63 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Ecomott's current Interest Coverage is 0.31, which is 96% below median its own 10-year median of 8.68. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ecomott stock overvalued right now?
Based on GuruFocus' analysis, Ecomott (TSE:3987) is currently considered Modestly Overvalued. The stock's GF Value™ is 円482.55, compared to a current price of 円579.00 — trading 20% above its estimated fair value. The current Interest Coverage is 0.31, which is 96% below median its 10-year median of 8.68 and 98.7% below the Software industry median of 24.63. Ecomott's overall GF Score™ is 64/100 with 10 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 Ecomott (TSE:3987), the current Interest Coverage is 0.31 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 Ecomott (TSE:3987) Overvalued in 2026?

Based on GuruFocus' analysis, Ecomott stock appears to be overvalued. The current stock price of 円579.00 is trading 20% above its estimated GF Value™ of 円482.55. GuruFocus considers Ecomott to be Modestly Overvalued.

Key valuation signals for TSE:3987:

  • Interest Coverage: 0.31 (96% below median its 10-year median of 8.68)
  • GF Value™: 円482.55 vs. price of 円579.00 (20% above fair value)
  • GF Score™: 64/100 with 10 warning signs
  • Industry Position: 98.7% below the Software median (#1675 of 1704)

No single metric tells the full story. See the TSE:3987 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Ecomott Business Description

Address 1-2-5 Kita 1-jo Higashi, 7 Floor, Caress Sapporo Building, Chuo-ku, Hokkaido, Sapporo, JPN, 060-0031
Ecomott Inc provides internet of things platform solutions that connects devices and systems. It offers a range of connectivity-driven technologies capable of solving real-world issues in a wide variety of industries. Company services includes Yuri Motto, Your Stand, Lloyd on the Scene, Solar power generation business, Pdrive, Disaster detection service. The company includes products such as Edge AI camera MRM-900, KENWOOD's high-performance 3-camera compatible telematics terminal STZ-DR20J, Waterproof and dustproof high-performance telematics terminal STZ-DR30, any many-more.
64GF Score

Get the complete analysis for TSE:3987

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

円579.00
Price
円482.55
GF Value