HPC Systems (TSE:6597) Interest Coverage: 111.40 (As of Mar. 2026) — 61% Above Median

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TSE:6597 HPC Systems Inc TSE:6597
65 GF Score
Price 円3,600.00
GF Value 円1,925.50
Valuation Significantly Overvalued
! 4 Warning Signs
View Full Analysis

What is HPC Systems Interest Coverage?

HPC Systems TSE:6597 +1.84% 65 Interest Coverage is 111.40 as of Mar. 2026, which is 61% above its 10-year median of 69.31. GuruFocus rates TSE:6597 with a GF Score™ of 65/100 and a GF Value™ of 円1,925.50 (Significantly Overvalued). The stock has 4 warning signs investors should review. Among 1,677 Hardware companies, HPC Systems ranks better than 69.05% 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. HPC Systems's Operating Income for the three months ended in Mar. 2026 was 円380 Mil. HPC Systems's Interest Expense for the three months ended in Mar. 2026 was 円-3 Mil. HPC Systems's interest coverage for the quarter that ended in Mar. 2026 was 111.40. The higher the ratio, the stronger the company's financial strength is.

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

TSE:6597' s Interest Coverage Range Over the Past 10 Years
Min: 15.63   Med: 69.31   Max: 159.51
Current: 43.25


TSE:6597's Interest Coverage is ranked better than
69.05% of 1677 companies
in the Hardware industry
Industry Median: 15.19 vs TSE:6597: 43.25

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


HPC Systems  (TSE:6597) 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 .


HPC Systems Interest Coverage Related Terms


HPC Systems Interest Coverage Historical Data

* Premium members only.

The historical data trend for HPC Systems'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.

HPC Systems Interest Coverage Chart

HPC Systems Annual Data
Trend Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24 Jun25 Jun26
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 89.68 15.63 35.18 72.79 43.25

HPC Systems Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
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 24.04 135.67 111.33 111.40 2.10

TSE:6597 vs DELL, ANET, SNDK: Interest Coverage Comparison

For the Computer Hardware subindustry, HPC Systems'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.


HPC Systems Interest Coverage vs Hardware Industry

For the Hardware industry and Technology sector, HPC Systems's Interest Coverage distribution charts can be found below:

* The bar in red indicates where HPC Systems's Interest Coverage falls into.


TSE:6597
65GF Score
HPC Systems Inc TSE:6597
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

HPC Systems 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.

HPC Systems's Interest Coverage for the fiscal year that ended in Jun. 2026 is calculated as

Here, for the fiscal year that ended in Jun. 2026, HPC Systems's Interest Expense was 円-16 Mil. Its Operating Income was 円713 Mil. And its Long-Term Debt & Capital Lease Obligation was 円106 Mil.

Interest Coverage=-1* Operating Income (A: Jun. 2026 )/Interest Expense (A: Jun. 2026 )
=-1*713.225/-16.489
=43.25

HPC Systems's Interest Coverage for the quarter that ended in Mar. 2026 is calculated as

Here, for the three months ended in Mar. 2026, HPC Systems's Interest Expense was 円-3 Mil. Its Operating Income was 円380 Mil. And its Long-Term Debt & Capital Lease Obligation was 円150 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*379.767/-3.409
=111.40

* 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 111.40 mean?
HPC Systems (TSE:6597) has a Interest Coverage of 111.40 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on HPC Systems and its competitors. This is 61% above median its historical median of 69.31. Over the past decade, HPC Systems' Interest Coverage has ranged from 15.63 to 159.51. According to the industry distribution chart, HPC Systems ranks #519 out of 1677 companies in the Hardware industry, placing it in the top 30.9%.
Is HPC Systems' Interest Coverage too high?
HPC Systems' current Interest Coverage of 111.40 is 61% above median its 10-year median of 69.31. Over the past 10 years, this metric has ranged from a low of 15.63 to a high of 159.51. The Hardware industry median Interest Coverage is 15.19. HPC Systems' value of 111.40 is 633.4% above this industry median. Based on the distribution chart, HPC Systems ranks #519 out of 1677 companies in the Hardware industry, which is above the industry midpoint. Overall, HPC Systems has a GF Score™ of 65/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does HPC Systems' Interest Coverage compare to DELL and ANET?
According to the Hardware industry distribution chart, HPC Systems ranks #519 out of 1677 companies for Interest Coverage. This puts HPC Systems in the upper half of its industry. The industry median Interest Coverage is 15.19. HPC Systems' value of 111.40 is 633.4% above this benchmark. Historically, HPC Systems' own Interest Coverage has ranged from 15.63 to 159.51 over the past decade. While the company's 10-year median is 69.31 vs. the industry median of 15.19, HPC Systems 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 Hardware company?
The median Interest Coverage among Hardware companies is 15.19, based on 1,677 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. HPC Systems's current Interest Coverage of 111.40 is 633.4% 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 HPC Systems and its competitors. For the Hardware industry, the median Interest Coverage is 15.19 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. HPC Systems's current Interest Coverage is 111.40, which is 61% above median its own 10-year median of 69.31. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is HPC Systems stock overvalued right now?
Based on GuruFocus' analysis, HPC Systems (TSE:6597) is currently considered Significantly Overvalued. The stock's GF Value™ is 円1,925.50, compared to a current price of 円3,600.00 — trading 87% above its estimated fair value. The current Interest Coverage is 111.40, which is 61% above median its 10-year median of 69.31 and 633.4% above the Hardware industry median of 15.19. HPC Systems' overall GF Score™ is 65/100 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 HPC Systems (TSE:6597), the current Interest Coverage is 111.40 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 HPC Systems (TSE:6597) Overvalued in 2026?

Based on GuruFocus' analysis, HPC Systems stock appears to be overvalued. The current stock price of 円3,600.00 is trading 87% above its estimated GF Value™ of 円1,925.50. GuruFocus considers HPC Systems to be Significantly Overvalued.

Key valuation signals for TSE:6597:

  • Interest Coverage: 111.40 (61% above median its 10-year median of 69.31)
  • GF Value™: 円1,925.50 vs. price of 円3,600.00 (87% above fair value)
  • GF Score™: 65/100 with 4 warning signs
  • Industry Position: 633.4% above the Hardware median (#519 of 1677)

No single metric tells the full story. See the TSE:6597 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


HPC Systems Business Description

Address 9-15 Kaigan 3-chome, Minato-ku, Tokyo, JPN, 108-0022
HPC Systems Inc is a Japanese-based company engaged in the development, production, and sales of high-performance computers and industrial computers. The business activities of the group are functioning through a high-performance computer business, a configure-to-order business, and a computational science consulting business.
65GF Score

Get the complete analysis for TSE:6597

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

円3,600.00
Price
円1,925.50
GF Value