T.RAD Co (TSE:7236) Interest Coverage: 42.38 (As of Mar. 2026) — 168% Above Median


TSE:7236 T.RAD Co Ltd TSE:7236
69 GF Score
Price 円1,441.00
GF Value 円429.74
Valuation Significantly Overvalued
! 4 Warning Signs
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What is T.RAD Co Interest Coverage?

T.RAD Co TSE:7236 -2.77% 69 Interest Coverage is 42.38 as of Mar. 2026, which is 168% above its 10-year median of 15.83. GuruFocus rates TSE:7236 with a GF Score™ of 69/100 and a GF Value™ of 円429.74 (Significantly Overvalued). The stock has 4 warning signs investors should review. Among 1,067 Vehicles & Parts companies, T.RAD Co ranks better than 79.48% 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. T.RAD Co's Operating Income for the three months ended in Mar. 2026 was 円2,924 Mil. T.RAD Co's Interest Expense for the three months ended in Mar. 2026 was 円-69 Mil. T.RAD Co's interest coverage for the quarter that ended in Mar. 2026 was 42.38. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for T.RAD Co's Interest Coverage or its related term are showing as below:

TSE:7236' s Interest Coverage Range Over the Past 10 Years
Min: 2.91   Med: 15.83   Max: 45.57
Current: 45.57


TSE:7236's Interest Coverage is ranked better than
79.48% of 1067 companies
in the Vehicles & Parts industry
Industry Median: 8.31 vs TSE:7236: 45.57

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


T.RAD Co  (TSE:7236) 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 .


T.RAD Co Interest Coverage Related Terms


T.RAD Co Interest Coverage Historical Data

* Premium members only.

The historical data trend for T.RAD 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.

T.RAD Co Interest Coverage Chart

T.RAD Co Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 21.49 2.91 6.79 17.99 45.57

T.RAD Co Quarterly Data
Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Mar25 Jun25 Sep25 Dec25 Mar26
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 43.30 44.67 53.31 42.38

TSE:7236 vs ORLY, AZO: Interest Coverage Comparison

For the Auto Parts subindustry, T.RAD 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.


T.RAD Co Interest Coverage vs Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, T.RAD Co's Interest Coverage distribution charts can be found below:

* The bar in red indicates where T.RAD Co's Interest Coverage falls into.


TSE:7236
69GF Score
T.RAD Co Ltd TSE:7236
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

T.RAD 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.

T.RAD Co's Interest Coverage for the fiscal year that ended in Mar. 2026 is calculated as

Here, for the fiscal year that ended in Mar. 2026, T.RAD Co's Interest Expense was 円-247 Mil. Its Operating Income was 円11,256 Mil. And its Long-Term Debt & Capital Lease Obligation was 円17,356 Mil.

Interest Coverage=-1* Operating Income (A: Mar. 2026 )/Interest Expense (A: Mar. 2026 )
=-1*11256/-247
=45.57

T.RAD Co's Interest Coverage for the quarter that ended in Mar. 2026 is calculated as

Here, for the three months ended in Mar. 2026, T.RAD Co's Interest Expense was 円-69 Mil. Its Operating Income was 円2,924 Mil. And its Long-Term Debt & Capital Lease Obligation was 円17,356 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*2924/-69
=42.38

* 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 42.38 mean?
T.RAD Co (TSE:7236) has a Interest Coverage of 42.38 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on T.RAD Co and its competitors. This is 168% above median its historical median of 15.83. Over the past decade, T.RAD Co's Interest Coverage has ranged from 2.91 to 45.57. According to the industry distribution chart, T.RAD Co ranks #219 out of 1067 companies in the Vehicles & Parts industry, placing it in the top 20.5%.
Is T.RAD Co's Interest Coverage too high?
T.RAD Co's current Interest Coverage of 42.38 is 168% above median its 10-year median of 15.83. Over the past 10 years, this metric has ranged from a low of 2.91 to a high of 45.57. The Vehicles & Parts industry median Interest Coverage is 8.31. T.RAD Co's value of 42.38 is 410% above this industry median. Based on the distribution chart, T.RAD Co ranks #219 out of 1067 companies in the Vehicles & Parts industry, which is in the top quartile — a strong position relative to peers. Overall, T.RAD Co has a GF Score™ of 69/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does T.RAD Co's Interest Coverage compare to ORLY and AZO?
According to the Vehicles & Parts industry distribution chart, T.RAD Co ranks #219 out of 1067 companies for Interest Coverage. This places T.RAD Co in the top 21% of its industry — outperforming the majority of peers. The industry median Interest Coverage is 8.31. T.RAD Co's value of 42.38 is 410% above this benchmark. Historically, T.RAD Co's own Interest Coverage has ranged from 2.91 to 45.57 over the past decade. While the company's 10-year median is 15.83 vs. the industry median of 8.31, T.RAD 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 Vehicles & Parts company?
The median Interest Coverage among Vehicles & Parts companies is 8.31, based on 1,067 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. T.RAD Co's current Interest Coverage of 42.38 is 410% 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 T.RAD Co and its competitors. For the Vehicles & Parts industry, the median Interest Coverage is 8.31 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. T.RAD Co's current Interest Coverage is 42.38, which is 168% above median its own 10-year median of 15.83. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is T.RAD Co stock overvalued right now?
Based on GuruFocus' analysis, T.RAD Co (TSE:7236) is currently considered Significantly Overvalued. The stock's GF Value™ is 円429.74, compared to a current price of 円1,441.00 — trading 235.3% above its estimated fair value. The current Interest Coverage is 42.38, which is 168% above median its 10-year median of 15.83 and 410% above the Vehicles & Parts industry median of 8.31. T.RAD Co's overall GF Score™ is 69/100 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 T.RAD Co (TSE:7236), the current Interest Coverage is 42.38 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 T.RAD Co (TSE:7236) Overvalued in 2026?

Based on GuruFocus' analysis, T.RAD Co stock appears to be overvalued. The current stock price of 円1,441.00 is trading 235.3% above its estimated GF Value™ of 円429.74. GuruFocus considers T.RAD Co to be Significantly Overvalued.

Key valuation signals for TSE:7236:

  • Interest Coverage: 42.38 (168% above median its 10-year median of 15.83)
  • GF Value™: 円429.74 vs. price of 円1,441.00 (235.3% above fair value)
  • GF Score™: 69/100 with 4 warning signs
  • Industry Position: 410% above the Vehicles & Parts median (#219 of 1067)

No single metric tells the full story. See the TSE:7236 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


T.RAD Co Business Description

Address Aioi Insurance Shinjyuku Bldg, 3-25-3,Yoyogi, Shibuya-ku, Tokyo, JPN, 151-0053
T.RAD Co Ltd engages in manufacture and sale of automobile parts and other machinery. Its services include the manufacturing and marketing of heat exchangers for automobiles, construction and industrial machines, air conditioners, distributed generators, parts for automobiles, environment-related equipment, and others. The firm's main products consist of radiators, oil coolers, EGR coolers, intercoolers, recuperators, fin coils for air conditioners, and other heat exchangers.
69GF Score

Get the complete analysis for TSE:7236

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

円1,441.00
Price
円429.74
GF Value