For example, when a company’s interest coverage ratio is 1.5 or lower, it can only cover its obligations a maximum of one and a half times.

For example, if a company's earnings before taxes and interest amount to $50,000 and its total interest payment requirements equal $25,000, then its interest coverage ratio is 2.0 ($50,000/$25,000 ...

Interest coverage ratio greater than X-Industry Median Price greater than or equal to 5: The stocks must all be trading at a minimum of $5 or higher. 5-Year Historical EPS Growth (%) ...

Using a backward-looking 12 months of interest expense, the average fixed-charge coverage ratio dropped from 1.40x in the first quarter of 2022 to 1.26x in the first quarter of 2023.