Kato Works CoTSE:6390 +1.56%57 Interest Coverage is 0 (At Loss) as of Mar. 2026. GuruFocus rates TSE:6390 with a GF Score™ of 57/100 and a GF Value™ of 円1,345.19 (Fairly Valued). The stock has 5 warning signs investors should review. Among 168 Farm & Heavy Construction Machinery companies, Kato Works Co ranks worse than 595237.5% 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. Kato Works Co's
Operating Income
for the
three
months ended in Mar. 2026 was 円-454 Mil. Kato Works Co's Interest Expense for the
three
months ended in Mar. 2026 was 円-176 Mil.
did not have earnings to cover the interest expense.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Kato Works Co's Interest Coverage or its related term are showing as below:
TSE:6390's Interest Coverage is not ranked *
in the Farm & Heavy Construction Machinery industry.
Industry Median: 9.33 * Ranked among companies with meaningful Interest Coverage only.
Kato Works Co (TSE:6390) 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 .
Kato Works Co Interest Coverage Related Terms
Kato Works Co Interest Coverage Historical Data
* Premium members only.
The historical data trend for Kato Works 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:6390 vs CAT, DE, PCAR: Interest Coverage Comparison
For the Farm & Heavy Construction Machinery subindustry, Kato Works 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.
Kato Works Co Interest Coverage vs Farm & Heavy Construction Machinery Industry
For the Farm & Heavy Construction Machinery industry and Industrials sector, Kato Works Co's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Kato Works 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:
Kato Works Co did not have earnings to cover the 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.
What does a Interest Coverage of 0 (At Loss) mean?
Kato Works Co (TSE:6390) has a Interest Coverage of 0 (At Loss) as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Kato Works Co and its competitors. According to the industry distribution chart, Kato Works Co ranks #999999 out of 168 companies in the Farm & Heavy Construction Machinery industry.
Is Kato Works Co's Interest Coverage too high?
Kato Works Co's current Interest Coverage is 0 (At Loss). Based on the distribution chart, Kato Works Co ranks #999999 out of 168 companies in the Farm & Heavy Construction Machinery industry, which is in the bottom quartile relative to peers. Overall, Kato Works Co has a GF Score™ of 57/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Kato Works Co's Interest Coverage compare to CAT and DE?
According to the Farm & Heavy Construction Machinery industry distribution chart, Kato Works Co ranks #999999 out of 168 companies for Interest Coverage. This places Kato Works Co in the lower half of its industry. The industry median Interest Coverage is 9.33. 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 Farm & Heavy Construction Machinery company?
The median Interest Coverage among Farm & Heavy Construction Machinery companies is 9.33, based on 168 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. 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 Kato Works Co and its competitors. For the Farm & Heavy Construction Machinery industry, the median Interest Coverage is 9.33 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kato Works Co's current Interest Coverage is 0 (At Loss). However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kato Works Co stock overvalued right now?
Based on GuruFocus' analysis, Kato Works Co (TSE:6390) is currently considered Fairly Valued. The stock's GF Value™ is 円1,345.19, compared to a current price of 円1,305.00 — trading 3% below its estimated fair value. The current Interest Coverage is 0 (At Loss). Kato Works Co's overall GF Score™ is 57/100 with 5 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 Kato Works Co (TSE:6390), the current Interest Coverage is 0 (At Loss) 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 Kato Works Co (TSE:6390) Overvalued in 2026?
Based on GuruFocus' analysis, Kato Works Co stock appears to be undervalued.
The current stock price of 円1,305.00 is trading 3% below its estimated GF Value™ of 円1,345.19.
GuruFocus considers Kato Works Co to be Fairly Valued.
Key valuation signals for TSE:6390:
Interest Coverage: 0 (At Loss)
GF Value™: 円1,345.19 vs. price of 円1,305.00 (3% below fair value)
No single metric tells the full story. See the TSE:6390 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Kato Works Co Ltd is a Japan-based machinery manufacturer. The company is mainly engaged in the manufacturing and sales of machinery used for the lifting and construction industries. It offers various construction equipment, mobile cranes, and industrial equipment, including truck cranes, hydraulic excavators, rough terrain cranes, all-terrain cranes, crawler cranes, mini excavators, earth boring rigs, vacuum trucks, street sweepers, and snow sweepers. Kato also offers related spare parts and services. The group's reportable segments are Japan, which is its key revenue-generating market, China, Europe, and Others.
57GF Score
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