Step Co (TSE:9795) Interest Coverage: 9,261.66 (As of Mar. 2026) — 474% Above Median


TSE:9795 Step Co Ltd TSE:9795
74 GF Score
Price 円2,251.00
GF Value 円2,360.38
Valuation Fairly Valued
View Full Analysis

What is Step Co Interest Coverage?

Step Co TSE:9795 +0.90% 74 Interest Coverage is 9,261.66 as of Mar. 2026, which is 474% above its 10-year median of 1,612.81. GuruFocus rates TSE:9795 with a GF Score™ of 74/100 and a GF Value™ of 円2,360.38 (Fairly Valued). Among 196 Education companies, Step Co ranks better than 89.8% 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. Step Co's Operating Income for the six months ended in Mar. 2026 was 円2,380 Mil. Step Co's Interest Expense for the six months ended in Mar. 2026 was 円-0 Mil. Step Co's interest coverage for the quarter that ended in Mar. 2026 was 9,261.66. 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. Step Co Ltd has enough cash to cover all of its debt. Its financial situation is stable.

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

TSE:9795' s Interest Coverage Range Over the Past 10 Years
Min: 613.63   Med: 1612.81   Max: 9216.47
Current: 6232.4


TSE:9795's Interest Coverage is ranked better than
89.8% of 196 companies
in the Education industry
Industry Median: 12.84 vs TSE:9795: 6232.40

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


Step Co  (TSE:9795) 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 .


Step Co Interest Coverage Related Terms


Step Co Interest Coverage Historical Data

* Premium members only.

The historical data trend for Step 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.

Step Co Interest Coverage Chart

Step Co Annual Data
Trend Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22 Sep23 Sep24 Sep25
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1,218.02 4,089.86 5,762.35 9,216.47 4,661.07

Step 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 10,583.91 7,519.25 5,147.44 4,033.19 9,261.66

TSE:9795 vs EDU, TAL, LAUR: Interest Coverage Comparison

For the Education & Training Services subindustry, Step 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.


Step Co Interest Coverage vs Education Industry

For the Education industry and Consumer Defensive sector, Step Co's Interest Coverage distribution charts can be found below:

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


TSE:9795
74GF Score
Step Co Ltd TSE:9795
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Step 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.

Step Co's Interest Coverage for the fiscal year that ended in Sep. 2025 is calculated as

Here, for the fiscal year that ended in Sep. 2025, Step Co's Interest Expense was 円-1 Mil. Its Operating Income was 円3,780 Mil. And its Long-Term Debt & Capital Lease Obligation was 円54 Mil.

Interest Coverage=-1* Operating Income (A: Sep. 2025 )/Interest Expense (A: Sep. 2025 )
=-1*3780.128/-0.811
=4,661.07

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

Here, for the six months ended in Mar. 2026, Step Co's Interest Expense was 円-0 Mil. Its Operating Income was 円2,380 Mil. And its Long-Term Debt & Capital Lease Obligation was 円36 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*2380.246/-0.257
=9,261.66

* 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 9,261.66 mean?
Step Co (TSE:9795) has a Interest Coverage of 9,261.66 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Step Co and its competitors. This is 474% above median its historical median of 1,612.81. Over the past decade, Step Co's Interest Coverage has ranged from 613.63 to 9,216.47. According to the industry distribution chart, Step Co ranks #20 out of 196 companies in the Education industry, placing it in the top 10.2%.
Is Step Co's Interest Coverage too high?
Step Co's current Interest Coverage of 9,261.66 is 474% above median its 10-year median of 1,612.81. Over the past 10 years, this metric has ranged from a low of 613.63 to a high of 9,216.47. The Education industry median Interest Coverage is 12.84. Step Co's value of 9,261.66 is 72031.3% above this industry median. Based on the distribution chart, Step Co ranks #20 out of 196 companies in the Education industry, which is in the top quartile — a strong position relative to peers. Overall, Step Co has a GF Score™ of 74/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Step Co's Interest Coverage compare to EDU and TAL?
According to the Education industry distribution chart, Step Co ranks #20 out of 196 companies for Interest Coverage. This places Step Co in the top 10% of its industry — outperforming the majority of peers. The industry median Interest Coverage is 12.84. Step Co's value of 9,261.66 is 72031.3% above this benchmark. Historically, Step Co's own Interest Coverage has ranged from 613.63 to 9,216.47 over the past decade. While the company's 10-year median is 1,612.81 vs. the industry median of 12.84, Step 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 an Education company?
The median Interest Coverage among Education companies is 12.84, based on 196 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. Step Co's current Interest Coverage of 9,261.66 is 72031.3% 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 Step Co and its competitors. For the Education industry, the median Interest Coverage is 12.84 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Step Co's current Interest Coverage is 9,261.66, which is 474% above median its own 10-year median of 1,612.81. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Step Co stock overvalued right now?
Based on GuruFocus' analysis, Step Co (TSE:9795) is currently considered Fairly Valued. The stock's GF Value™ is 円2,360.38, compared to a current price of 円2,251.00 — trading 4.6% below its estimated fair value. The current Interest Coverage is 9,261.66, which is 474% above median its 10-year median of 1,612.81 and 72031.3% above the Education industry median of 12.84. Step Co's overall GF Score™ is 74/100. 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 Step Co (TSE:9795), the current Interest Coverage is 9,261.66 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 Step Co (TSE:9795) Overvalued in 2026?

Based on GuruFocus' analysis, Step Co stock appears to be undervalued. The current stock price of 円2,251.00 is trading 4.6% below its estimated GF Value™ of 円2,360.38. GuruFocus considers Step Co to be Fairly Valued.

Key valuation signals for TSE:9795:

  • Interest Coverage: 9,261.66 (474% above median its 10-year median of 1,612.81)
  • GF Value™: 円2,360.38 vs. price of 円2,251.00 (4.6% below fair value)
  • GF Score™: 74/100
  • Industry Position: 72031.3% above the Education median (#20 of 196)

No single metric tells the full story. See the TSE:9795 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Step Co Business Description

Address Fujisawa 602, Kanagawa Prefecture, Fujisawa, JPN, 251-0052
Step Co Ltd is a Japan-based company engaged in the operation of private preparatory schools. The company operates cram schools and after-school care facilities, and produces and edits educational materials, as well as prints and binds books. The company is engaged in providing high school entrance exam preparation courses, Teaching Materials Research Division produces manuscripts and original plates for teaching materials, academic programs, physical education, and shogi (Japanese chess), and other activities.
74GF Score

Get the complete analysis for TSE:9795

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

円2,251.00
Price
円2,360.38
GF Value