TONE Co (TSE:5967) Interest Coverage: 15.34 (As of Feb. 2026) — 97% Below Median

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TSE:5967 TONE Co Ltd TSE:5967
76 GF Score
Price 円488.00
GF Value 円610.90
Valuation Modestly Undervalued
! 3 Warning Signs
View Full Analysis

What is TONE Co Interest Coverage?

TONE Co TSE:5967 +1.04% 76 Interest Coverage is 15.34 as of Feb. 2026, which is 97% below its 10-year median of 522.29. GuruFocus rates TSE:5967 with a GF Score™ of 76/100 and a GF Value™ of 円610.90 (Modestly Undervalued). The stock has 3 warning signs investors should review. Among 2,329 Industrial Products companies, TONE Co ranks better than 64.15% 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. TONE Co's Operating Income for the three months ended in Feb. 2026 was 円232 Mil. TONE Co's Interest Expense for the three months ended in Feb. 2026 was 円-15 Mil. TONE Co's interest coverage for the quarter that ended in Feb. 2026 was 15.34. The higher the ratio, the stronger the company's financial strength is.

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

TSE:5967' s Interest Coverage Range Over the Past 10 Years
Min: 29.64   Med: 522.29   Max: 1443.5
Current: 29.64


TSE:5967's Interest Coverage is ranked better than
64.15% of 2329 companies
in the Industrial Products industry
Industry Median: 14.69 vs TSE:5967: 29.64

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


TONE Co  (TSE:5967) 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 .


TONE Co Interest Coverage Related Terms


TONE Co Interest Coverage Historical Data

* Premium members only.

The historical data trend for TONE 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.

TONE Co Interest Coverage Chart

TONE Co Annual Data
Trend May17 May18 May19 May20 May21 May22 May23 May24 May25 May26
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 489.30 1,443.50 199.21 49.97 29.64

TONE Co Quarterly Data
Feb21 May21 Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24 May24 Nov24 May25 Aug25 Nov25 Feb26 May26
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 N/A 41.86 26.39 15.34 43.24

TSE:5967 vs SNA, RBC, SWK: Interest Coverage Comparison

For the Tools & Accessories subindustry, TONE 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.


TONE Co Interest Coverage vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, TONE Co's Interest Coverage distribution charts can be found below:

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


TSE:5967
76GF Score
TONE Co Ltd TSE:5967
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

TONE 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.

TONE Co's Interest Coverage for the fiscal year that ended in May. 2026 is calculated as

Here, for the fiscal year that ended in May. 2026, TONE Co's Interest Expense was 円-46 Mil. Its Operating Income was 円1,364 Mil. And its Long-Term Debt & Capital Lease Obligation was 円3,167 Mil.

Interest Coverage=-1* Operating Income (A: May. 2026 )/Interest Expense (A: May. 2026 )
=-1*1364.026/-46.024
=29.64

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

Here, for the three months ended in Feb. 2026, TONE Co's Interest Expense was 円-15 Mil. Its Operating Income was 円232 Mil. And its Long-Term Debt & Capital Lease Obligation was 円3,319 Mil.

Interest Coverage=-1* Operating Income (Q: Feb. 2026 )/Interest Expense (Q: Feb. 2026 )
=-1*231.859/-15.118
=15.34

* 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 15.34 mean?
TONE Co (TSE:5967) has a Interest Coverage of 15.34 as of Feb. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on TONE Co and its competitors. This is 97% below median its historical median of 522.29. Over the past decade, TONE Co's Interest Coverage has ranged from 29.64 to 1,443.50. According to the industry distribution chart, TONE Co ranks #835 out of 2329 companies in the Industrial Products industry, placing it in the top 35.9%.
Is TONE Co's Interest Coverage too high?
TONE Co's current Interest Coverage of 15.34 is 97% below median its 10-year median of 522.29. Over the past 10 years, this metric has ranged from a low of 29.64 to a high of 1,443.50. The Industrial Products industry median Interest Coverage is 14.69. TONE Co's value of 15.34 is 4.4% above this industry median. Based on the distribution chart, TONE Co ranks #835 out of 2329 companies in the Industrial Products industry, which is above the industry midpoint. Overall, TONE Co has a GF Score™ of 76/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does TONE Co's Interest Coverage compare to SNA and RBC?
According to the Industrial Products industry distribution chart, TONE Co ranks #835 out of 2329 companies for Interest Coverage. This puts TONE Co in the upper half of its industry. The industry median Interest Coverage is 14.69. TONE Co's value of 15.34 is 4.4% above this benchmark. Historically, TONE Co's own Interest Coverage has ranged from 29.64 to 1,443.50 over the past decade. While the company's 10-year median is 522.29 vs. the industry median of 14.69, TONE 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 an Industrial Products company?
The median Interest Coverage among Industrial Products companies is 14.69, based on 2,329 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. TONE Co's current Interest Coverage of 15.34 is 4.4% 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 TONE Co and its competitors. For the Industrial Products industry, the median Interest Coverage is 14.69 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. TONE Co's current Interest Coverage is 15.34, which is 97% below median its own 10-year median of 522.29. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is TONE Co stock overvalued right now?
Based on GuruFocus' analysis, TONE Co (TSE:5967) is currently considered Modestly Undervalued. The stock's GF Value™ is 円610.90, compared to a current price of 円488.00 — trading 20.1% below its estimated fair value. The current Interest Coverage is 15.34, which is 97% below median its 10-year median of 522.29 and 4.4% above the Industrial Products industry median of 14.69. TONE Co's overall GF Score™ is 76/100 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 TONE Co (TSE:5967), the current Interest Coverage is 15.34 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 TONE Co (TSE:5967) Overvalued in 2026?

Based on GuruFocus' analysis, TONE Co stock appears to be undervalued. The current stock price of 円488.00 is trading 20.1% below its estimated GF Value™ of 円610.90. GuruFocus considers TONE Co to be Modestly Undervalued.

Key valuation signals for TSE:5967:

  • Interest Coverage: 15.34 (97% below median its 10-year median of 522.29)
  • GF Value™: 円610.90 vs. price of 円488.00 (20.1% below fair value)
  • GF Score™: 76/100 with 3 warning signs
  • Industry Position: 4.4% above the Industrial Products median (#835 of 2329)

No single metric tells the full story. See the TSE:5967 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


TONE Co Business Description

Address 6-25 Kotobukicho, Osaka Prefecture, Kawachinagano, JPN, 586-0026
TONE Co Ltd is engaged in the manufacture of work tools for the professional automotive machine direction, and industrial construction and civil engineering development, manufacturing and sales of power tools and torque management devices.
76GF Score

Get the complete analysis for TSE:5967

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

円488.00
Price
円610.90
GF Value