Makoto Construction Co (TSE:8995) Interest Coverage: 7.13 (As of Mar. 2026) — 77% Below Median


TSE:8995 Makoto Construction Co Ltd TSE:8995
55 GF Score
Price 円827.00
GF Value 円754.82
Valuation Fairly Valued
! 8 Warning Signs
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What is Makoto Construction Co Interest Coverage?

Makoto Construction Co TSE:8995 -1.66% 55 Interest Coverage is 7.13 as of Mar. 2026, which is 77% below its 10-year median of 30.43. GuruFocus rates TSE:8995 with a GF Score™ of 55/100 and a GF Value™ of 円754.82 (Fairly Valued). The stock has 8 warning signs investors should review. Among 1,300 Real Estate companies, Makoto Construction Co ranks worse than 80.92% 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. Makoto Construction Co's Operating Income for the six months ended in Mar. 2026 was 円102 Mil. Makoto Construction Co's Interest Expense for the six months ended in Mar. 2026 was 円-14 Mil. Makoto Construction Co's interest coverage for the quarter that ended in Mar. 2026 was 7.13. The higher the ratio, the stronger the company's financial strength is.

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

TSE:8995' s Interest Coverage Range Over the Past 10 Years
Min: 1.01   Med: 30.43   Max: 52.08
Current: 1.37


TSE:8995's Interest Coverage is ranked worse than
80.92% of 1300 companies
in the Real Estate industry
Industry Median: 4.225 vs TSE:8995: 1.37

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


Makoto Construction Co  (TSE:8995) 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 .


Makoto Construction Co Interest Coverage Related Terms


Makoto Construction Co Interest Coverage Historical Data

* Premium members only.

The historical data trend for Makoto Construction 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.

Makoto Construction Co Interest Coverage Chart

Makoto Construction 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 13.84 32.57 37.71 1.01 1.37

Makoto Construction Co Semi-Annual Data
Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25 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 36.25 0.00 6.30 0.00 7.13

Makoto Construction Co Interest Coverage Competitor Comparison

For the Real Estate - Diversified subindustry, Makoto Construction 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.


Makoto Construction Co Interest Coverage vs Real Estate Industry

For the Real Estate industry and Real Estate sector, Makoto Construction Co's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Makoto Construction Co's Interest Coverage falls into.


TSE:8995
55GF Score
Makoto Construction Co Ltd TSE:8995
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Makoto Construction 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.

Makoto Construction 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, Makoto Construction Co's Interest Expense was 円-30 Mil. Its Operating Income was 円42 Mil. And its Long-Term Debt & Capital Lease Obligation was 円710 Mil.

Interest Coverage=-1* Operating Income (A: Mar. 2026 )/Interest Expense (A: Mar. 2026 )
=-1*41.637/-30.335
=1.37

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

Here, for the six months ended in Mar. 2026, Makoto Construction Co's Interest Expense was 円-14 Mil. Its Operating Income was 円102 Mil. And its Long-Term Debt & Capital Lease Obligation was 円710 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*101.633/-14.251
=7.13

* 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 7.13 mean?
Makoto Construction Co (TSE:8995) has a Interest Coverage of 7.13 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Makoto Construction Co and its competitors. This is 77% below median its historical median of 30.43. Over the past decade, Makoto Construction Co's Interest Coverage has ranged from 1.01 to 52.08. According to the industry distribution chart, Makoto Construction Co ranks #1052 out of 1300 companies in the Real Estate industry, placing it in the top 80.9%.
Is Makoto Construction Co's Interest Coverage too high?
Makoto Construction Co's current Interest Coverage of 7.13 is 77% below median its 10-year median of 30.43. Over the past 10 years, this metric has ranged from a low of 1.01 to a high of 52.08. The Real Estate industry median Interest Coverage is 4.23. Makoto Construction Co's value of 7.13 is 68.8% above this industry median. Based on the distribution chart, Makoto Construction Co ranks #1052 out of 1300 companies in the Real Estate industry, which is in the bottom quartile relative to peers. Overall, Makoto Construction Co has a GF Score™ of 55/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Makoto Construction Co's Interest Coverage compare to competitors?
According to the Real Estate industry distribution chart, Makoto Construction Co ranks #1052 out of 1300 companies for Interest Coverage. This places Makoto Construction Co in the lower half of its industry. The industry median Interest Coverage is 4.23. Makoto Construction Co's value of 7.13 is 68.8% above this benchmark. Historically, Makoto Construction Co's own Interest Coverage has ranged from 1.01 to 52.08 over the past decade. While the company's 10-year median is 30.43 vs. the industry median of 4.23, Makoto Construction 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 Real Estate company?
The median Interest Coverage among Real Estate companies is 4.23, based on 1,300 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. Makoto Construction Co's current Interest Coverage of 7.13 is 68.8% 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 Makoto Construction Co and its competitors. For the Real Estate industry, the median Interest Coverage is 4.23 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Makoto Construction Co's current Interest Coverage is 7.13, which is 77% below median its own 10-year median of 30.43. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Makoto Construction Co stock overvalued right now?
Based on GuruFocus' analysis, Makoto Construction Co (TSE:8995) is currently considered Fairly Valued. The stock's GF Value™ is 円754.82, compared to a current price of 円827.00 — trading 9.6% above its estimated fair value. The current Interest Coverage is 7.13, which is 77% below median its 10-year median of 30.43 and 68.8% above the Real Estate industry median of 4.23. Makoto Construction Co's overall GF Score™ is 55/100 with 8 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 Makoto Construction Co (TSE:8995), the current Interest Coverage is 7.13 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 Makoto Construction Co (TSE:8995) Overvalued in 2026?

Based on GuruFocus' analysis, Makoto Construction Co stock appears to be overvalued. The current stock price of 円827.00 is trading 9.6% above its estimated GF Value™ of 円754.82. GuruFocus considers Makoto Construction Co to be Fairly Valued.

Key valuation signals for TSE:8995:

  • Interest Coverage: 7.13 (77% below median its 10-year median of 30.43)
  • GF Value™: 円754.82 vs. price of 円827.00 (9.6% above fair value)
  • GF Score™: 55/100 with 8 warning signs
  • Industry Position: 68.8% above the Real Estate median (#1052 of 1300)

No single metric tells the full story. See the TSE:8995 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Makoto Construction Co Business Description

Address 46 Fukuda, Sakai, JPN
Makoto Construction Co Ltd is engaged in the in-house design & construction business in Japan. It builds homes and condominiums for residential purposes, as well as provides real estate agency services.
55GF Score

Get the complete analysis for TSE:8995

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

円827.00
Price
円754.82
GF Value