Shochiku Co (TSE:9601) Interest Coverage: 2.91 (As of Feb. 2026) — 57% Below Median


TSE:9601 Shochiku Co Ltd TSE:9601
75 GF Score
Price 円10,640.00
GF Value 円12,706.52
Valuation Modestly Undervalued
! 3 Warning Signs
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What is Shochiku Co Interest Coverage?

Shochiku Co TSE:9601 -0.09% 75 Interest Coverage is 2.91 as of Feb. 2026, which is 57% below its 10-year median of 6.73. GuruFocus rates TSE:9601 with a GF Score™ of 75/100 and a GF Value™ of 円12,706.52 (Modestly Undervalued). The stock has 3 warning signs investors should review. Among 602 Media - Diversified companies, Shochiku Co ranks worse than 60.3% 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. Shochiku Co's Operating Income for the three months ended in Feb. 2026 was 円664 Mil. Shochiku Co's Interest Expense for the three months ended in Feb. 2026 was 円-228 Mil. Shochiku Co's interest coverage for the quarter that ended in Feb. 2026 was 2.91. The higher the ratio, the stronger the company's financial strength is.

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

TSE:9601' s Interest Coverage Range Over the Past 10 Years
Min: 2.11   Med: 6.73   Max: 8.02
Current: 6.73


TSE:9601's Interest Coverage is ranked worse than
60.3% of 602 companies
in the Media - Diversified industry
Industry Median: 11.775 vs TSE:9601: 6.73

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


Shochiku Co  (TSE:9601) 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 .


Shochiku Co Interest Coverage Related Terms


Shochiku Co Interest Coverage Historical Data

* Premium members only.

The historical data trend for Shochiku 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.

Shochiku Co Interest Coverage Chart

Shochiku Co 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 0.00 0.00 6.08 2.11 6.73

Shochiku Co Quarterly Data
May21 Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24 May24 Aug24 Nov24 Feb25 May25 Aug25 Nov25 Feb26
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 8.06 4.99 13.43 5.36 2.91

TSE:9601 vs NFLX, DIS, WBD: Interest Coverage Comparison

For the Entertainment subindustry, Shochiku 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.


Shochiku Co Interest Coverage vs Media - Diversified Industry

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

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


TSE:9601
75GF Score
Shochiku Co Ltd TSE:9601
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Shochiku 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.

Shochiku Co'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, Shochiku Co's Interest Expense was 円-915 Mil. Its Operating Income was 円6,161 Mil. And its Long-Term Debt & Capital Lease Obligation was 円55,553 Mil.

Interest Coverage=-1* Operating Income (A: Feb. 2026 )/Interest Expense (A: Feb. 2026 )
=-1*6161/-915
=6.73

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

Here, for the three months ended in Feb. 2026, Shochiku Co's Interest Expense was 円-228 Mil. Its Operating Income was 円664 Mil. And its Long-Term Debt & Capital Lease Obligation was 円55,553 Mil.

Interest Coverage=-1* Operating Income (Q: Feb. 2026 )/Interest Expense (Q: Feb. 2026 )
=-1*664/-228
=2.91

* 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 2.91 mean?
Shochiku Co (TSE:9601) has a Interest Coverage of 2.91 as of Feb. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Shochiku Co and its competitors. This is 57% below median its historical median of 6.73. Over the past decade, Shochiku Co's Interest Coverage has ranged from 2.11 to 8.02. According to the industry distribution chart, Shochiku Co ranks #363 out of 602 companies in the Media - Diversified industry, placing it in the top 60.3%.
Is Shochiku Co's Interest Coverage too high?
Shochiku Co's current Interest Coverage of 2.91 is 57% below median its 10-year median of 6.73. Over the past 10 years, this metric has ranged from a low of 2.11 to a high of 8.02. The Media - Diversified industry median Interest Coverage is 11.78. Shochiku Co's value of 2.91 is 75.3% below this industry median. Based on the distribution chart, Shochiku Co ranks #363 out of 602 companies in the Media - Diversified industry, which is below the industry midpoint. Overall, Shochiku Co has a GF Score™ of 75/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Shochiku Co's Interest Coverage compare to NFLX and DIS?
According to the Media - Diversified industry distribution chart, Shochiku Co ranks #363 out of 602 companies for Interest Coverage. This places Shochiku Co in the lower half of its industry. The industry median Interest Coverage is 11.78. Shochiku Co's value of 2.91 is 75.3% below this benchmark. Historically, Shochiku Co's own Interest Coverage has ranged from 2.11 to 8.02 over the past decade. While the company's 10-year median is 6.73 vs. the industry median of 11.78, Shochiku Co has consistently been below 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 11.78, based on 602 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. Shochiku Co's current Interest Coverage of 2.91 is 75.3% below 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 Shochiku Co and its competitors. For the Media - Diversified industry, the median Interest Coverage is 11.78 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Shochiku Co's current Interest Coverage is 2.91, which is 57% below median its own 10-year median of 6.73. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Shochiku Co stock overvalued right now?
Based on GuruFocus' analysis, Shochiku Co (TSE:9601) is currently considered Modestly Undervalued. The stock's GF Value™ is 円12,706.52, compared to a current price of 円10,640.00 — trading 16.3% below its estimated fair value. The current Interest Coverage is 2.91, which is 57% below median its 10-year median of 6.73 and 75.3% below the Media - Diversified industry median of 11.78. Shochiku Co's overall GF Score™ is 75/100 with 3 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 Shochiku Co (TSE:9601), the current Interest Coverage is 2.91 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 Shochiku Co (TSE:9601) Overvalued in 2026?

Based on GuruFocus' analysis, Shochiku Co stock appears to be undervalued. The current stock price of 円10,640.00 is trading 16.3% below its estimated GF Value™ of 円12,706.52. GuruFocus considers Shochiku Co to be Modestly Undervalued.

Key valuation signals for TSE:9601:

  • Interest Coverage: 2.91 (57% below median its 10-year median of 6.73)
  • GF Value™: 円12,706.52 vs. price of 円10,640.00 (16.3% below fair value)
  • GF Score™: 75/100 with 3 warning signs
  • Industry Position: 75.3% below the Media - Diversified median (#363 of 602)

No single metric tells the full story. See the TSE:9601 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Shochiku Co Business Description

Address 1-1, Tsukiji 4-chome, Chuo-ku, Tokyo, JPN, 104-8422
Shochiku Co Ltd is a diversified media company that mainly operates in the film and production industry. The company has three business segments, which include Video-related business, theater business, and real estate business. The Video-related business includes the production, sale, distribution, and exhibition of theatrical films, the production and sale of television films, and BS/CS broadcasting. The theatre segment includes planning, production, and staging of theatrical performances, as well as the placement of actors and talents, and dance. The real estate business segment owns and leases development properties. The other business largely focuses on merchandise sales. The company earns the vast majority of its revenue in Japan.
75GF Score

Get the complete analysis for TSE:9601

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

円10,640.00
Price
円12,706.52
GF Value