Wakita (TSE:8125) Interest Coverage: 16.95 (As of Feb. 2026) — 68% Below Median

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TSE:8125 Wakita & Co Ltd TSE:8125
87 GF Score
Price 円1,883.00
GF Value 円1,787.02
Valuation Fairly Valued
! 4 Warning Signs
View Full Analysis

What is Wakita Interest Coverage?

Wakita TSE:8125 -0.32% 87 Interest Coverage is 16.95 as of Feb. 2026, which is 68% below its 10-year median of 53.06. GuruFocus rates TSE:8125 with a GF Score™ of 87/100 and a GF Value™ of 円1,787.02 (Fairly Valued). The stock has 4 warning signs investors should review. Among 169 Farm & Heavy Construction Machinery companies, Wakita ranks better than 72.78% 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. Wakita's Operating Income for the three months ended in Feb. 2026 was 円966 Mil. Wakita's Interest Expense for the three months ended in Feb. 2026 was 円-57 Mil. Wakita's interest coverage for the quarter that ended in Feb. 2026 was 16.95. The higher the ratio, the stronger the company's financial strength is.

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

TSE:8125' s Interest Coverage Range Over the Past 10 Years
Min: 23.79   Med: 53.06   Max: 76.49
Current: 24.05


TSE:8125's Interest Coverage is ranked better than
72.78% of 169 companies
in the Farm & Heavy Construction Machinery industry
Industry Median: 9.34 vs TSE:8125: 24.05

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


Wakita  (TSE:8125) 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 .


Wakita Interest Coverage Related Terms


Wakita Interest Coverage Historical Data

* Premium members only.

The historical data trend for Wakita'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.

Wakita Interest Coverage Chart

Wakita Annual Data
Trend Feb17 Feb18 Feb19 Feb20 Feb21 Feb22 Feb23 Feb24 Feb25 Feb26
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 52.44 40.03 29.17 31.48 23.79

Wakita Quarterly Data
Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24 May24 Aug24 Nov24 Feb25 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 29.69 16.84 31.95 16.95 30.18

TSE:8125 vs CAT, DE, PCAR: Interest Coverage Comparison

For the Farm & Heavy Construction Machinery subindustry, Wakita'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.


Wakita Interest Coverage vs Farm & Heavy Construction Machinery Industry

For the Farm & Heavy Construction Machinery industry and Industrials sector, Wakita's Interest Coverage distribution charts can be found below:

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


TSE:8125
87GF Score
Wakita & Co Ltd TSE:8125
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Wakita 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.

Wakita's Interest Coverage for the fiscal year that ended in Feb. 2026 is calculated as

Here, for the fiscal year that ended in Feb. 2026, Wakita's Interest Expense was 円-222 Mil. Its Operating Income was 円5,282 Mil. And its Long-Term Debt & Capital Lease Obligation was 円977 Mil.

Interest Coverage=-1* Operating Income (A: Feb. 2026 )/Interest Expense (A: Feb. 2026 )
=-1*5282/-222
=23.79

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

Here, for the three months ended in Feb. 2026, Wakita's Interest Expense was 円-57 Mil. Its Operating Income was 円966 Mil. And its Long-Term Debt & Capital Lease Obligation was 円977 Mil.

Interest Coverage=-1* Operating Income (Q: Feb. 2026 )/Interest Expense (Q: Feb. 2026 )
=-1*966/-57
=16.95

* 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 16.95 mean?
Wakita (TSE:8125) has a Interest Coverage of 16.95 as of Feb. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Wakita and its competitors. This is 68% below median its historical median of 53.06. Over the past decade, Wakita's Interest Coverage has ranged from 23.79 to 76.49. According to the industry distribution chart, Wakita ranks #46 out of 169 companies in the Farm & Heavy Construction Machinery industry, placing it in the top 27.2%.
Is Wakita's Interest Coverage too high?
Wakita's current Interest Coverage of 16.95 is 68% below median its 10-year median of 53.06. Over the past 10 years, this metric has ranged from a low of 23.79 to a high of 76.49. The Farm & Heavy Construction Machinery industry median Interest Coverage is 9.34. Wakita's value of 16.95 is 81.5% above this industry median. Based on the distribution chart, Wakita ranks #46 out of 169 companies in the Farm & Heavy Construction Machinery industry, which is above the industry midpoint. Overall, Wakita has a GF Score™ of 87/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Wakita's Interest Coverage compare to CAT and DE?
According to the Farm & Heavy Construction Machinery industry distribution chart, Wakita ranks #46 out of 169 companies for Interest Coverage. This puts Wakita in the upper half of its industry. The industry median Interest Coverage is 9.34. Wakita's value of 16.95 is 81.5% above this benchmark. Historically, Wakita's own Interest Coverage has ranged from 23.79 to 76.49 over the past decade. While the company's 10-year median is 53.06 vs. the industry median of 9.34, Wakita 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 Farm & Heavy Construction Machinery company?
The median Interest Coverage among Farm & Heavy Construction Machinery companies is 9.34, based on 169 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. Wakita's current Interest Coverage of 16.95 is 81.5% 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 Wakita and its competitors. For the Farm & Heavy Construction Machinery industry, the median Interest Coverage is 9.34 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Wakita's current Interest Coverage is 16.95, which is 68% below median its own 10-year median of 53.06. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Wakita stock overvalued right now?
Based on GuruFocus' analysis, Wakita (TSE:8125) is currently considered Fairly Valued. The stock's GF Value™ is 円1,787.02, compared to a current price of 円1,883.00 — trading 5.4% above its estimated fair value. The current Interest Coverage is 16.95, which is 68% below median its 10-year median of 53.06 and 81.5% above the Farm & Heavy Construction Machinery industry median of 9.34. Wakita's overall GF Score™ is 87/100 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 Wakita (TSE:8125), the current Interest Coverage is 16.95 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 Wakita (TSE:8125) Overvalued in 2026?

Based on GuruFocus' analysis, Wakita stock appears to be overvalued. The current stock price of 円1,883.00 is trading 5.4% above its estimated GF Value™ of 円1,787.02. GuruFocus considers Wakita to be Fairly Valued.

Key valuation signals for TSE:8125:

  • Interest Coverage: 16.95 (68% below median its 10-year median of 53.06)
  • GF Value™: 円1,787.02 vs. price of 円1,883.00 (5.4% above fair value)
  • GF Score™: 87/100 with 4 warning signs
  • Industry Position: 81.5% above the Farm & Heavy Construction Machinery median (#46 of 169)

No single metric tells the full story. See the TSE:8125 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Wakita Business Description

Address 1-3-20 Edobori, Nishi-ku, Osaka, JPN, 550-0002
Wakita & Co Ltd is a trading company that manufactures, sells, and leases civil engineering and construction equipment. It also conducts business in diverse fields, including audiovisual equipment, stone materials for construction use, and industrial and commercial facilities and equipment. Wakita provides comprehensive assistance, from construction to finance, for a broad range of industrial facilities and equipment in manufacturing, transportation, communications, agricultural, medical and information communications industries. The company operates through over 70 offices across Japan.
87GF Score

Get the complete analysis for TSE:8125

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

円1,883.00
Price
円1,787.02
GF Value