What is a good ratio for interest coverage?
What is a good ratio for interest coverage?
Optimal Interest Coverage Ratio Generally, an interest coverage ratio of at least two (2) is considered the minimum acceptable amount for a company that has solid, consistent revenues. Analysts prefer to see a coverage ratio of three (3) or better.
How do you find interest coverage ratio?
To determine the interest coverage ratio:
- EBIT = Revenue – COGS – Operating Expenses.
- EBIT = $10,000,000 – $500,000 – $120,000 – $500,000 – $200,000 – $100,000 = $8,580,000.
- Interest Coverage Ratio = $8,580,000 / $3,000,000 = 2.86x.
What is Walmart debt to equity ratio?
Debt-to-Equity Ratio Walmart’s D/E ratio as of July 31, 2021, was 1.74.
What is Amazon interest coverage ratio?
Amazon.com’s latest twelve months interest coverage ratio is 10.6x. Amazon.com’s interest coverage ratio for fiscal years ending December 2017 to 2021 averaged 10.1x. Amazon.com’s operated at median interest coverage ratio of 9.1x from fiscal years ending December 2017 to 2021.
What is Tesla interest coverage ratio?
Tesla’s latest twelve months interest coverage ratio is 30.1x. Tesla’s interest coverage ratio for fiscal years ending December 2017 to 2021 averaged 3.4x. Tesla’s operated at median interest coverage ratio of 0.1x from fiscal years ending December 2017 to 2021.
What is Apple’s interest coverage ratio?
Apple’s interest coverage ratio for fiscal years ending September 2017 to 2021 averaged 26.1x. Apple’s operated at median interest coverage ratio of 23.1x from fiscal years ending September 2017 to 2021. Looking back at the last five years, Apple’s interest coverage ratio peaked in March 2022 at 43.9x.
Is higher interest coverage ratio better?
Generally, a higher coverage ratio is better, although the ideal ratio may vary by industry.
What if interest coverage ratio is negative?
Low Interest Coverage Ratio Could Signify Financial Issues A bad interest coverage ratio is any number below 1, as this translates to the company’s current earnings being insufficient to service its outstanding debt.
What is Walmart’s profitability ratio?
3.04% 4.82% 6.86% Based on: 10-K (reporting date: 2022-01-31), 10-K (reporting date: 2021-01-31), 10-K (reporting date: 2020-01-31), 10-K (reporting date: 2019-01-31), 10-K (reporting date: 2018-01-31), 10-K (reporting date: 2017-01-31). Walmart Inc., profitability ratios, return on sales Gross…
What is Walmart’s debt ratio in 2019?
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| Walmart Debt/Equity Ratio Historical Data | ||
|---|---|---|
| Date | Long Term Debt | Debt to Equity Ratio |
| 2019-07-31 | $157.73B | 2.05 |
| 2019-04-30 | $159.63B | 2.13 |
| 2019-01-31 | $139.66B | 1.75 |
What is Amazon’s quick ratio?
Amazon.com has a quick ratio of 0.71.
What is Amazon’s debt to equity ratio?
Compare 2 to 12 securities….Debt to Equity Ratio Related Metrics.
| Total Assets (Quarterly) | 410.77B |
|---|---|
| Total Liabilities (Quarterly) | 276.77B |
| Shareholders Equity (Quarterly) | 134.00B |
| Current Ratio | 0.9596 |
| Net Debt Paydown Yield | -0.19% |