Nihon Knowledge CoTSE:5252 -3.03%75 Interest Coverage is 35.25 as of Mar. 2026, which is 59% below its 10-year median of 85.44. GuruFocus rates TSE:5252 with a GF Score™ of 75/100 and a GF Value™ of 円544.27 (Significantly Overvalued). The stock has 4 warning signs investors should review. Among 1,706 Software companies, Nihon Knowledge Co ranks worse than 61.43% 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. Nihon Knowledge Co's
Operating Income
for the
six
months ended in Mar. 2026 was 円100 Mil. Nihon Knowledge Co's Interest Expense for the
six
months ended in Mar. 2026 was 円-3 Mil.
Nihon Knowledge Co's interest coverage for the quarter that ended in Mar. 2026 was 35.25.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Nihon Knowledge Co's Interest Coverage or its related term are showing as below:
TSE:5252'
s Interest Coverage Range Over the Past 10 Years
Min: 13.06 Med: 85.44 Max: 230.79
Current: 13.06
TSE:5252's Interest Coverage is ranked worse than 61.43% of 1706
companies
in the Software industry
Industry Median: 24.75
vs TSE:5252: 13.06
Nihon Knowledge Co (TSE:5252) 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 .
Nihon Knowledge Co Interest Coverage Related Terms
Nihon Knowledge Co Interest Coverage Historical Data
* Premium members only.
The historical data trend for Nihon Knowledge 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.
TSE:5252 vs UBER, SHOP, CRM: Interest Coverage Comparison
For the Software - Application subindustry, Nihon Knowledge 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.
Nihon Knowledge Co Interest Coverage vs Software Industry
For the Software industry and Technology sector, Nihon Knowledge Co's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Nihon Knowledge Co's Interest Coverage falls into.
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:
* 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.
Nihon Knowledge Co (TSE:5252) has a Interest Coverage of 35.25 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Nihon Knowledge Co and its competitors. This is 59% below median its historical median of 85.44. Over the past decade, Nihon Knowledge Co's Interest Coverage has ranged from 13.06 to 230.79. According to the industry distribution chart, Nihon Knowledge Co ranks #1048 out of 1706 companies in the Software industry, placing it in the top 61.4%.
Is Nihon Knowledge Co's Interest Coverage too high?
Nihon Knowledge Co's current Interest Coverage of 35.25 is 59% below median its 10-year median of 85.44. Over the past 10 years, this metric has ranged from a low of 13.06 to a high of 230.79. The Software industry median Interest Coverage is 24.75. Nihon Knowledge Co's value of 35.25 is 42.4% above this industry median. Based on the distribution chart, Nihon Knowledge Co ranks #1048 out of 1706 companies in the Software industry, which is below the industry midpoint. Overall, Nihon Knowledge Co has a GF Score™ of 75/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Nihon Knowledge Co's Interest Coverage compare to UBER and SHOP?
According to the Software industry distribution chart, Nihon Knowledge Co ranks #1048 out of 1706 companies for Interest Coverage. This places Nihon Knowledge Co in the lower half of its industry. The industry median Interest Coverage is 24.75. Nihon Knowledge Co's value of 35.25 is 42.4% above this benchmark. Historically, Nihon Knowledge Co's own Interest Coverage has ranged from 13.06 to 230.79 over the past decade. While the company's 10-year median is 85.44 vs. the industry median of 24.75, Nihon Knowledge 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 Software company?
The median Interest Coverage among Software companies is 24.75, based on 1,706 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. Nihon Knowledge Co's current Interest Coverage of 35.25 is 42.4% 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 Nihon Knowledge Co and its competitors. For the Software industry, the median Interest Coverage is 24.75 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Nihon Knowledge Co's current Interest Coverage is 35.25, which is 59% below median its own 10-year median of 85.44. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nihon Knowledge Co stock overvalued right now?
Based on GuruFocus' analysis, Nihon Knowledge Co (TSE:5252) is currently considered Significantly Overvalued. The stock's GF Value™ is 円544.27, compared to a current price of 円800.00 — trading 47% above its estimated fair value. The current Interest Coverage is 35.25, which is 59% below median its 10-year median of 85.44 and 42.4% above the Software industry median of 24.75. Nihon Knowledge Co's overall GF Score™ is 75/100 with 4 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 Nihon Knowledge Co (TSE:5252), the current Interest Coverage is 35.25 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 Nihon Knowledge Co (TSE:5252) Overvalued in 2026?
Based on GuruFocus' analysis, Nihon Knowledge Co stock appears to be overvalued.
The current stock price of 円800.00 is trading 47% above its estimated GF Value™ of 円544.27.
GuruFocus considers Nihon Knowledge Co to be Significantly Overvalued.
Key valuation signals for TSE:5252:
Interest Coverage: 35.25 (59% below median its 10-year median of 85.44)
GF Value™: 円544.27 vs. price of 円800.00 (47% above fair value)
Industry Position: 42.4% above the Software median (#1048 of 1706)
No single metric tells the full story. See the TSE:5252 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Nihon Knowledge Co Ltd is a comprehensive ICT service company that provides quality and test technology, development, and security products with a thorough user orientation. The company's services include verification services, Development services, and consultation services. The verification services include Resolving software verification issues through a track record of numerous projects and accumulation of know-how. The development services include management systems for steel wholesalers and processing industries and others.
75GF Score
Get the complete analysis for TSE:5252
Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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