Nippon HumeTSE:5262 +5.33%78 Interest Coverage is 118.23 as of Mar. 2026, which is 61% above its 10-year median of 73.41. GuruFocus rates TSE:5262 with a GF Score™ of 78/100 and a GF Value™ of 円784.65 (Significantly Overvalued). The stock has 1 warning sign investors should review. Among 1,351 Construction companies, Nippon Hume ranks better than 89.93% 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. Nippon Hume's
Operating Income
for the
three
months ended in Mar. 2026 was 円655 Mil. Nippon Hume's Interest Expense for the
three
months ended in Mar. 2026 was 円-6 Mil.
Nippon Hume's interest coverage for the quarter that ended in Mar. 2026 was 118.23.
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. Nippon Hume Corp has enough cash to cover all of its debt. Its financial situation is stable.
The historical rank and industry rank for Nippon Hume's Interest Coverage or its related term are showing as below:
TSE:5262'
s Interest Coverage Range Over the Past 10 Years
Min: 55.68 Med: 73.41 Max: 195.17
Current: 194.72
TSE:5262's Interest Coverage is ranked better than 89.93% of 1351
companies
in the Construction industry
Industry Median: 7.81
vs TSE:5262: 194.72
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 .
Nippon Hume Interest Coverage Related Terms
Nippon Hume Interest Coverage Historical Data
* Premium members only.
The historical data trend for Nippon Hume'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:5262 vs TT, JCI, CARR: Interest Coverage Comparison
For the Building Products & Equipment subindustry, Nippon Hume'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.
Nippon Hume Interest Coverage vs Construction Industry
For the Construction industry and Industrials sector, Nippon Hume's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Nippon Hume'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.
Nippon Hume (TSE:5262) has a Interest Coverage of 118.23 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Nippon Hume and its competitors. This is 61% above median its historical median of 73.41. Over the past decade, Nippon Hume's Interest Coverage has ranged from 55.68 to 195.17. According to the industry distribution chart, Nippon Hume ranks #136 out of 1351 companies in the Construction industry, placing it in the top 10.1%.
Is Nippon Hume's Interest Coverage too high?
Nippon Hume's current Interest Coverage of 118.23 is 61% above median its 10-year median of 73.41. Over the past 10 years, this metric has ranged from a low of 55.68 to a high of 195.17. The Construction industry median Interest Coverage is 7.81. Nippon Hume's value of 118.23 is 1413.8% above this industry median. Based on the distribution chart, Nippon Hume ranks #136 out of 1351 companies in the Construction industry, which is in the top quartile — a strong position relative to peers. Overall, Nippon Hume has a GF Score™ of 78/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Nippon Hume's Interest Coverage compare to TT and JCI?
According to the Construction industry distribution chart, Nippon Hume ranks #136 out of 1351 companies for Interest Coverage. This places Nippon Hume in the top 10% of its industry — outperforming the majority of peers. The industry median Interest Coverage is 7.81. Nippon Hume's value of 118.23 is 1413.8% above this benchmark. Historically, Nippon Hume's own Interest Coverage has ranged from 55.68 to 195.17 over the past decade. While the company's 10-year median is 73.41 vs. the industry median of 7.81, Nippon Hume 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 1,351 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. Nippon Hume's current Interest Coverage of 118.23 is 1413.8% 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 Nippon Hume 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. Nippon Hume's current Interest Coverage is 118.23, which is 61% above median its own 10-year median of 73.41. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nippon Hume stock overvalued right now?
Based on GuruFocus' analysis, Nippon Hume (TSE:5262) is currently considered Significantly Overvalued. The stock's GF Value™ is 円784.65, compared to a current price of 円1,067.00 — trading 36% above its estimated fair value. The current Interest Coverage is 118.23, which is 61% above median its 10-year median of 73.41 and 1413.8% above the Construction industry median of 7.81. Nippon Hume's overall GF Score™ is 78/100 with 1 warning sign 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 Nippon Hume (TSE:5262), the current Interest Coverage is 118.23 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 Nippon Hume (TSE:5262) Overvalued in 2026?
Based on GuruFocus' analysis, Nippon Hume stock appears to be overvalued.
The current stock price of 円1,067.00 is trading 36% above its estimated GF Value™ of 円784.65.
GuruFocus considers Nippon Hume to be Significantly Overvalued.
Key valuation signals for TSE:5262:
Interest Coverage: 118.23 (61% above median its 10-year median of 73.41)
GF Value™: 円784.65 vs. price of 円1,067.00 (36% above fair value)
Industry Position: 1413.8% above the Construction median (#136 of 1351)
No single metric tells the full story. See the TSE:5262 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Nippon Hume Corp provides one-stop service in the design, manufacture and installation of precast concrete products. The company's three reportable segments include Foundations, Sewerage-related, and Solar Power Generation and Real Estate. In Foundations, concrete piles are manufactured and sold, and pile driving work is carried out. In the Sewerage related segment, Hume pipes, segments and other products are manufactured and sold, and pipe and drain rehabilitation projects are carried out. In Solar Power Generation and Real Estate, real estate is rented, managed and developed, and equipment related to solar power and the environment is sold and maintenance is provided for it.
78GF Score
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Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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