Dainichiseika Color & Chemicals Mfg Co (TSE:4116) Interest Coverage: 17.04 (As of Mar. 2026) — 19% Below Median

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TSE:4116 Dainichiseika Color & Chemicals Mfg Co Ltd TSE:4116
66 GF Score
Price 円1,089.00
GF Value 円781.82
Valuation Significantly Overvalued
! 2 Warning Signs
View Full Analysis

What is Dainichiseika Color & Chemicals Mfg Co Interest Coverage?

Dainichiseika Color & Chemicals Mfg Co TSE:4116 -0.27% 66 Interest Coverage is 17.04 as of Mar. 2026, which is 19% below its 10-year median of 21.01. GuruFocus rates TSE:4116 with a GF Score™ of 66/100 and a GF Value™ of 円781.82 (Significantly Overvalued). The stock has 2 warning signs investors should review. Among 1,234 Chemicals companies, Dainichiseika Color & Chemicals Mfg Co ranks better than 66.61% 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. Dainichiseika Color & Chemicals Mfg Co's Operating Income for the three months ended in Mar. 2026 was 円1,431 Mil. Dainichiseika Color & Chemicals Mfg Co's Interest Expense for the three months ended in Mar. 2026 was 円-84 Mil. Dainichiseika Color & Chemicals Mfg Co's interest coverage for the quarter that ended in Mar. 2026 was 17.04. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Dainichiseika Color & Chemicals Mfg Co's Interest Coverage or its related term are showing as below:

TSE:4116' s Interest Coverage Range Over the Past 10 Years
Min: 9.1   Med: 21.01   Max: 30.64
Current: 25.04


TSE:4116's Interest Coverage is ranked better than
66.61% of 1234 companies
in the Chemicals industry
Industry Median: 10.28 vs TSE:4116: 25.04

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


Dainichiseika Color & Chemicals Mfg Co  (TSE:4116) 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 .


Dainichiseika Color & Chemicals Mfg Co Interest Coverage Related Terms


Dainichiseika Color & Chemicals Mfg Co Interest Coverage Historical Data

* Premium members only.

The historical data trend for Dainichiseika Color & Chemicals Mfg 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.

Dainichiseika Color & Chemicals Mfg Co Interest Coverage Chart

Dainichiseika Color & Chemicals Mfg 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 21.97 9.10 16.38 28.25 25.04

Dainichiseika Color & Chemicals Mfg Co 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 15.38 37.21 22.39 25.64 17.04

TSE:4116 vs LIN, SHW, ECL: Interest Coverage Comparison

For the Specialty Chemicals subindustry, Dainichiseika Color & Chemicals Mfg 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.


Dainichiseika Color & Chemicals Mfg Co Interest Coverage vs Chemicals Industry

For the Chemicals industry and Basic Materials sector, Dainichiseika Color & Chemicals Mfg Co's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Dainichiseika Color & Chemicals Mfg Co's Interest Coverage falls into.


TSE:4116
66GF Score
Dainichiseika Color & Chemicals Mfg Co Ltd TSE:4116
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Dainichiseika Color & Chemicals Mfg 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.

Dainichiseika Color & Chemicals Mfg 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, Dainichiseika Color & Chemicals Mfg Co's Interest Expense was 円-304 Mil. Its Operating Income was 円7,613 Mil. And its Long-Term Debt & Capital Lease Obligation was 円7,874 Mil.

Interest Coverage=-1* Operating Income (A: Mar. 2026 )/Interest Expense (A: Mar. 2026 )
=-1*7613/-304
=25.04

Dainichiseika Color & Chemicals Mfg Co's Interest Coverage for the quarter that ended in Mar. 2026 is calculated as

Here, for the three months ended in Mar. 2026, Dainichiseika Color & Chemicals Mfg Co's Interest Expense was 円-84 Mil. Its Operating Income was 円1,431 Mil. And its Long-Term Debt & Capital Lease Obligation was 円7,874 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*1431/-84
=17.04

* 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 17.04 mean?
Dainichiseika Color & Chemicals Mfg Co (TSE:4116) has a Interest Coverage of 17.04 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Dainichiseika Color & Chemicals Mfg Co and its competitors. This is 19% below median its historical median of 21.01. Over the past decade, Dainichiseika Color & Chemicals Mfg Co's Interest Coverage has ranged from 9.10 to 30.64. According to the industry distribution chart, Dainichiseika Color & Chemicals Mfg Co ranks #412 out of 1234 companies in the Chemicals industry, placing it in the top 33.4%.
Is Dainichiseika Color & Chemicals Mfg Co's Interest Coverage too high?
Dainichiseika Color & Chemicals Mfg Co's current Interest Coverage of 17.04 is 19% below median its 10-year median of 21.01. Over the past 10 years, this metric has ranged from a low of 9.10 to a high of 30.64. The Chemicals industry median Interest Coverage is 10.28. Dainichiseika Color & Chemicals Mfg Co's value of 17.04 is 65.8% above this industry median. Based on the distribution chart, Dainichiseika Color & Chemicals Mfg Co ranks #412 out of 1234 companies in the Chemicals industry, which is above the industry midpoint. Overall, Dainichiseika Color & Chemicals Mfg Co has a GF Score™ of 66/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Dainichiseika Color & Chemicals Mfg Co's Interest Coverage compare to LIN and SHW?
According to the Chemicals industry distribution chart, Dainichiseika Color & Chemicals Mfg Co ranks #412 out of 1234 companies for Interest Coverage. This puts Dainichiseika Color & Chemicals Mfg Co in the upper half of its industry. The industry median Interest Coverage is 10.28. Dainichiseika Color & Chemicals Mfg Co's value of 17.04 is 65.8% above this benchmark. Historically, Dainichiseika Color & Chemicals Mfg Co's own Interest Coverage has ranged from 9.10 to 30.64 over the past decade. While the company's 10-year median is 21.01 vs. the industry median of 10.28, Dainichiseika Color & Chemicals Mfg 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 a Chemicals company?
The median Interest Coverage among Chemicals companies is 10.28, based on 1,234 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. Dainichiseika Color & Chemicals Mfg Co's current Interest Coverage of 17.04 is 65.8% 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 Dainichiseika Color & Chemicals Mfg Co and its competitors. For the Chemicals industry, the median Interest Coverage is 10.28 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Dainichiseika Color & Chemicals Mfg Co's current Interest Coverage is 17.04, which is 19% below median its own 10-year median of 21.01. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Dainichiseika Color & Chemicals Mfg Co stock overvalued right now?
Based on GuruFocus' analysis, Dainichiseika Color & Chemicals Mfg Co (TSE:4116) is currently considered Significantly Overvalued. The stock's GF Value™ is 円781.82, compared to a current price of 円1,089.00 — trading 39.3% above its estimated fair value. The current Interest Coverage is 17.04, which is 19% below median its 10-year median of 21.01 and 65.8% above the Chemicals industry median of 10.28. Dainichiseika Color & Chemicals Mfg Co's overall GF Score™ is 66/100 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 Dainichiseika Color & Chemicals Mfg Co (TSE:4116), the current Interest Coverage is 17.04 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 Dainichiseika Color & Chemicals Mfg Co (TSE:4116) Overvalued in 2026?

Based on GuruFocus' analysis, Dainichiseika Color & Chemicals Mfg Co stock appears to be overvalued. The current stock price of 円1,089.00 is trading 39.3% above its estimated GF Value™ of 円781.82. GuruFocus considers Dainichiseika Color & Chemicals Mfg Co to be Significantly Overvalued.

Key valuation signals for TSE:4116:

  • Interest Coverage: 17.04 (19% below median its 10-year median of 21.01)
  • GF Value™: 円781.82 vs. price of 円1,089.00 (39.3% above fair value)
  • GF Score™: 66/100 with 2 warning signs
  • Industry Position: 65.8% above the Chemicals median (#412 of 1234)

No single metric tells the full story. See the TSE:4116 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Dainichiseika Color & Chemicals Mfg Co Business Description

Address 1-7-6, Nihonbashi-Bakurocho, Chuo-ku, Tokyo, JPN, 103-8383
Dainichiseika Color & Chemicals Mfg Co Ltd manufactures and sells pigments, plastics, and inks in five segments based on product type. The polymers segment, which generates the majority of revenue, sells plastic resins used to produce interior components for automobiles, polyurethane coatings and adhesives, and textile coatings. The pigments segment sells inorganic pigments and colorants. The prepared colors and chemicals segment sells colorants used in plastics and coatings. The printing inks segment sells inks for printing and gravure. The other segment leases real estate properties.
66GF Score

Get the complete analysis for TSE:4116

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

円1,089.00
Price
円781.82
GF Value