Avex (TSE:7860) Interest Coverage: 536.50 (As of Mar. 2026) — 158% Above Median

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

TSE:7860 Avex Inc TSE:7860
80 GF Score
Price 円1,257.00
GF Value 円1,580.09
Valuation Modestly Undervalued
! 2 Warning Signs
View Full Analysis

What is Avex Interest Coverage?

Avex TSE:7860 80 Interest Coverage is 536.50 as of Mar. 2026, which is 158% above its 10-year median of 208.06. GuruFocus rates TSE:7860 with a GF Score™ of 80/100 and a GF Value™ of 円1,580.09 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 603 Media - Diversified companies, Avex ranks better than 88.56% 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. Avex's Operating Income for the three months ended in Mar. 2026 was 円1,073 Mil. Avex's Interest Expense for the three months ended in Mar. 2026 was 円-2 Mil. Avex's interest coverage for the quarter that ended in Mar. 2026 was 536.50. 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. Avex Inc has enough cash to cover all of its debt. Its financial situation is stable.

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

TSE:7860' s Interest Coverage Range Over the Past 10 Years
Min: 54.55   Med: 208.06   Max: 817.8
Current: 817.8


TSE:7860's Interest Coverage is ranked better than
88.56% of 603 companies
in the Media - Diversified industry
Industry Median: 11.88 vs TSE:7860: 817.80

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


Avex  (TSE:7860) 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 .


Avex Interest Coverage Related Terms


Avex Interest Coverage Historical Data

* Premium members only.

The historical data trend for Avex'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.

Avex Interest Coverage Chart

Avex 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 235.00 376.78 211.33 0.00 817.80

Avex Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 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 0.00 730.50 0.00 947.50 536.50

TSE:7860 vs NFLX, DIS, WBD: Interest Coverage Comparison

For the Entertainment subindustry, Avex'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.


Avex Interest Coverage vs Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, Avex's Interest Coverage distribution charts can be found below:

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


TSE:7860
80GF Score
Avex Inc TSE:7860
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Avex 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.

Avex'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, Avex's Interest Expense was 円-5 Mil. Its Operating Income was 円4,089 Mil. And its Long-Term Debt & Capital Lease Obligation was 円0 Mil.

Interest Coverage=-1* Operating Income (A: Mar. 2026 )/Interest Expense (A: Mar. 2026 )
=-1*4089/-5
=817.80

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

Here, for the three months ended in Mar. 2026, Avex's Interest Expense was 円-2 Mil. Its Operating Income was 円1,073 Mil. And its Long-Term Debt & Capital Lease Obligation was 円0 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*1073/-2
=536.50

* 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 536.50 mean?
Avex (TSE:7860) has a Interest Coverage of 536.50 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Avex and its competitors. This is 158% above median its historical median of 208.06. Over the past decade, Avex's Interest Coverage has ranged from 54.55 to 817.80. According to the industry distribution chart, Avex ranks #69 out of 603 companies in the Media - Diversified industry, placing it in the top 11.4%.
Is Avex's Interest Coverage too high?
Avex's current Interest Coverage of 536.50 is 158% above median its 10-year median of 208.06. Over the past 10 years, this metric has ranged from a low of 54.55 to a high of 817.80. The Media - Diversified industry median Interest Coverage is 11.88. Avex's value of 536.50 is 4416% above this industry median. Based on the distribution chart, Avex ranks #69 out of 603 companies in the Media - Diversified industry, which is in the top quartile — a strong position relative to peers. Overall, Avex has a GF Score™ of 80/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Avex's Interest Coverage compare to NFLX and DIS?
According to the Media - Diversified industry distribution chart, Avex ranks #69 out of 603 companies for Interest Coverage. This places Avex in the top 11% of its industry — outperforming the majority of peers. The industry median Interest Coverage is 11.88. Avex's value of 536.50 is 4416% above this benchmark. Historically, Avex's own Interest Coverage has ranged from 54.55 to 817.80 over the past decade. While the company's 10-year median is 208.06 vs. the industry median of 11.88, Avex 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 Media - Diversified company?
The median Interest Coverage among Media - Diversified companies is 11.88, based on 603 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. Avex's current Interest Coverage of 536.50 is 4416% 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 Avex and its competitors. For the Media - Diversified industry, the median Interest Coverage is 11.88 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Avex's current Interest Coverage is 536.50, which is 158% above median its own 10-year median of 208.06. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Avex stock overvalued right now?
Based on GuruFocus' analysis, Avex (TSE:7860) is currently considered Modestly Undervalued. The stock's GF Value™ is 円1,580.09, compared to a current price of 円1,257.00 — trading 20.4% below its estimated fair value. The current Interest Coverage is 536.50, which is 158% above median its 10-year median of 208.06 and 4416% above the Media - Diversified industry median of 11.88. Avex's overall GF Score™ is 80/100 with 2 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 Avex (TSE:7860), the current Interest Coverage is 536.50 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 Avex (TSE:7860) Overvalued in 2026?

Based on GuruFocus' analysis, Avex stock appears to be undervalued. The current stock price of 円1,257.00 is trading 20.4% below its estimated GF Value™ of 円1,580.09. GuruFocus considers Avex to be Modestly Undervalued.

Key valuation signals for TSE:7860:

  • Interest Coverage: 536.50 (158% above median its 10-year median of 208.06)
  • GF Value™: 円1,580.09 vs. price of 円1,257.00 (20.4% below fair value)
  • GF Score™: 80/100 with 2 warning signs
  • Industry Position: 4416% above the Media - Diversified median (#69 of 603)

No single metric tells the full story. See the TSE:7860 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Avex Business Description

Other Exchanges AVEXF:USAAX8:Germany
Address Avex Building, 3-30-3 Minami Aoyama, Minato-ku, Tokyo, JPN, 107-8577
Avex Inc is a diversified media company, which holds a number of entertainment subsidiaries. The company has four primary business segments: music, video, management and live content, and other. The music segment designs, produces, and sells music and music-related content. The video segment plans, produces, sells, and distributes video content and feature films. The management and live business segment manages artists, sells merchandise, operates fan clubs, and is involved in the production of concerts and live events. The other business segment operates schools, restaurants, and real estate. The company generates the vast majority of its revenue in Japan.
80GF Score

Get the complete analysis for TSE:7860

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

円1,257.00
Price
円1,580.09
GF Value