Daito Pharmaceutical Co (TSE:4577) Interest Coverage: 19.03 (As of Nov. 2025) — 90% Below Median


TSE:4577 Daito Pharmaceutical Co Ltd TSE:4577
71 GF Score
Price 円1,232.00
GF Value 円1,276.34
Valuation Fairly Valued
! 3 Warning Signs
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What is Daito Pharmaceutical Co Interest Coverage?

Daito Pharmaceutical Co TSE:4577 -0.96% 71 Interest Coverage is 19.03 as of Nov. 2025, which is 90% below its 10-year median of 195.22. GuruFocus rates TSE:4577 with a GF Score™ of 71/100 and a GF Value™ of 円1,276.34 (Fairly Valued). The stock has 3 warning signs investors should review. Among 684 Drug Manufacturers companies, Daito Pharmaceutical Co ranks better than 62.87% 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. Daito Pharmaceutical Co's Operating Income for the three months ended in Nov. 2025 was 円628 Mil. Daito Pharmaceutical Co's Interest Expense for the three months ended in Nov. 2025 was 円-33 Mil. Daito Pharmaceutical Co's interest coverage for the quarter that ended in Nov. 2025 was 19.03. The higher the ratio, the stronger the company's financial strength is.

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

TSE:4577' s Interest Coverage Range Over the Past 10 Years
Min: 21.3   Med: 195.22   Max: 844
Current: 26.14


TSE:4577's Interest Coverage is ranked better than
62.87% of 684 companies
in the Drug Manufacturers industry
Industry Median: 12.765 vs TSE:4577: 26.14

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


Daito Pharmaceutical Co  (TSE:4577) 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 .


Daito Pharmaceutical Co Interest Coverage Related Terms


Daito Pharmaceutical Co Interest Coverage Historical Data

* Premium members only.

The historical data trend for Daito Pharmaceutical 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.

Daito Pharmaceutical Co Interest Coverage Chart

Daito Pharmaceutical Co Annual Data
Trend May16 May17 May18 May19 May20 May21 May22 May23 May24 May25
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 844.00 728.11 434.00 94.98 21.30

Daito Pharmaceutical Co Quarterly Data
May21 Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24 May24 Aug24 Nov24 Feb25 May25 Aug25 Nov25 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 Premium Member Only 11.68 19.76 33.30 19.03 34.09

TSE:4577 vs ZTS, UTHR: Interest Coverage Comparison

For the Drug Manufacturers - Specialty & Generic subindustry, Daito Pharmaceutical 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.


Daito Pharmaceutical Co Interest Coverage vs Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Daito Pharmaceutical Co's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Daito Pharmaceutical Co's Interest Coverage falls into.


TSE:4577
71GF Score
Daito Pharmaceutical Co Ltd TSE:4577
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Daito Pharmaceutical 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.

Daito Pharmaceutical Co's Interest Coverage for the fiscal year that ended in May. 2025 is calculated as

Here, for the fiscal year that ended in May. 2025, Daito Pharmaceutical Co's Interest Expense was 円-123 Mil. Its Operating Income was 円2,620 Mil. And its Long-Term Debt & Capital Lease Obligation was 円8,428 Mil.

Interest Coverage=-1* Operating Income (A: May. 2025 )/Interest Expense (A: May. 2025 )
=-1*2620/-123
=21.30

Daito Pharmaceutical Co's Interest Coverage for the quarter that ended in Nov. 2025 is calculated as

Here, for the three months ended in Nov. 2025, Daito Pharmaceutical Co's Interest Expense was 円-33 Mil. Its Operating Income was 円628 Mil. And its Long-Term Debt & Capital Lease Obligation was 円7,594 Mil.

Interest Coverage=-1* Operating Income (Q: Nov. 2025 )/Interest Expense (Q: Nov. 2025 )
=-1*628/-33
=19.03

* 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 19.03 mean?
Daito Pharmaceutical Co (TSE:4577) has a Interest Coverage of 19.03 as of Nov. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Daito Pharmaceutical Co and its competitors. This is 90% below median its historical median of 195.22. Over the past decade, Daito Pharmaceutical Co's Interest Coverage has ranged from 21.30 to 844.00. According to the industry distribution chart, Daito Pharmaceutical Co ranks #254 out of 684 companies in the Drug Manufacturers industry, placing it in the top 37.1%.
Is Daito Pharmaceutical Co's Interest Coverage too high?
Daito Pharmaceutical Co's current Interest Coverage of 19.03 is 90% below median its 10-year median of 195.22. Over the past 10 years, this metric has ranged from a low of 21.30 to a high of 844.00. The Drug Manufacturers industry median Interest Coverage is 12.77. Daito Pharmaceutical Co's value of 19.03 is 49.1% above this industry median. Based on the distribution chart, Daito Pharmaceutical Co ranks #254 out of 684 companies in the Drug Manufacturers industry, which is above the industry midpoint. Overall, Daito Pharmaceutical Co has a GF Score™ of 71/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Daito Pharmaceutical Co's Interest Coverage compare to ZTS and UTHR?
According to the Drug Manufacturers industry distribution chart, Daito Pharmaceutical Co ranks #254 out of 684 companies for Interest Coverage. This puts Daito Pharmaceutical Co in the upper half of its industry. The industry median Interest Coverage is 12.77. Daito Pharmaceutical Co's value of 19.03 is 49.1% above this benchmark. Historically, Daito Pharmaceutical Co's own Interest Coverage has ranged from 21.30 to 844.00 over the past decade. While the company's 10-year median is 195.22 vs. the industry median of 12.77, Daito Pharmaceutical 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 Drug Manufacturers company?
The median Interest Coverage among Drug Manufacturers companies is 12.77, based on 684 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. Daito Pharmaceutical Co's current Interest Coverage of 19.03 is 49.1% 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 Daito Pharmaceutical Co and its competitors. For the Drug Manufacturers industry, the median Interest Coverage is 12.77 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Daito Pharmaceutical Co's current Interest Coverage is 19.03, which is 90% below median its own 10-year median of 195.22. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Daito Pharmaceutical Co stock overvalued right now?
Based on GuruFocus' analysis, Daito Pharmaceutical Co (TSE:4577) is currently considered Fairly Valued. The stock's GF Value™ is 円1,276.34, compared to a current price of 円1,232.00 — trading 3.5% below its estimated fair value. The current Interest Coverage is 19.03, which is 90% below median its 10-year median of 195.22 and 49.1% above the Drug Manufacturers industry median of 12.77. Daito Pharmaceutical Co's overall GF Score™ is 71/100 with 3 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 Daito Pharmaceutical Co (TSE:4577), the current Interest Coverage is 19.03 as of Nov. 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 Daito Pharmaceutical Co (TSE:4577) Overvalued in 2026?

Based on GuruFocus' analysis, Daito Pharmaceutical Co stock appears to be undervalued. The current stock price of 円1,232.00 is trading 3.5% below its estimated GF Value™ of 円1,276.34. GuruFocus considers Daito Pharmaceutical Co to be Fairly Valued.

Key valuation signals for TSE:4577:

  • Interest Coverage: 19.03 (90% below median its 10-year median of 195.22)
  • GF Value™: 円1,276.34 vs. price of 円1,232.00 (3.5% below fair value)
  • GF Score™: 71/100 with 3 warning signs
  • Industry Position: 49.1% above the Drug Manufacturers median (#254 of 684)

No single metric tells the full story. See the TSE:4577 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Daito Pharmaceutical Co Business Description

Address 326 Yokamachi, Toyama, JPN, 939-8567
Daito Pharmaceutical Co Ltd is engaged in the research and development of pharmaceutical products. The company also undertakes contract manufacturing.
71GF Score

Get the complete analysis for TSE:4577

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

円1,232.00
Price
円1,276.34
GF Value