Basis: Trailing twelve months (TTM). Source: stored company filings and market data; unavailable inputs remain N/A.
Is the interest coverage ratio high or low?
The interest coverage ratio of 14.16x is 54% below its 5-year average of 31.07x, near the low end of its 5-year range (12.41x–77.64x).
0.21% above its 12-month average of 14.13x.
Reported quarterly interest coverage; no daily interpolation. Q2 FY2026 (2026-06-30): 12.82x.
INTEREST COVERAGE RATIO
14.16x
INTEREST COVERAGE RATIO AVG TTM
14.13x
INTEREST COVERAGE RATIO AVG 3Y
20.59x
INTEREST COVERAGE RATIO AVG 5Y
31.07x
INTEREST COVERAGE RATIO AVG 10Y
24.13x
INTEREST COVERAGE RATIO AVG 15Y
18.34x
INTEREST COVERAGE RATIO AVG 20Y
14.71x
CURRENT VS TTM AVG
+0.21%
CURRENT VS 3Y AVG
-31.22%
CURRENT VS 5Y AVG
-54.42%
CURRENT VS 10Y AVG
-41.32%
CURRENT VS 15Y AVG
-22.78%
CURRENT VS 20Y AVG
-3.73%
SECTOR MEDIAN · TECHNOLOGY
7.78x
median of 149 covered companies
CURRENT VS SECTOR MEDIAN
+82.01%
vs the sector median at left
Cadence Design Systems, Inc.
Market Cap
$78.47B
Interest Coverage Ratio
14.16x
TTM Avg
14.13x
3Y Avg
20.59x
5Y Avg
31.07x
Market Cap
$78.92B
Interest Coverage Ratio
-4.01x
TTM Avg
7.68x
3Y Avg
7.68x
5Y Avg
7.68x
Market Cap
$77.00B
Interest Coverage Ratio
8.04x
TTM Avg
8.57x
3Y Avg
8.32x
5Y Avg
7.83x
Market Cap
$76.05B
Interest Coverage Ratio
2.05x
TTM Avg
19.43x
3Y Avg
296.60x
5Y Avg
254.24x
Market Cap
$73.14B
Interest Coverage Ratio
9.39x
TTM Avg
15.10x
3Y Avg
10.65x
5Y Avg
10.79x
Market Cap
$72.80B
Interest Coverage Ratio
24.07x
TTM Avg
24.07x
3Y Avg
24.07x
5Y Avg
10.54x
Market Cap
$85.55B
Interest Coverage Ratio
22.98x
TTM Avg
21.45x
3Y Avg
17.64x
5Y Avg
31.42x
Market Cap
$87.64B
Interest Coverage Ratio
9.07x
TTM Avg
7.58x
3Y Avg
158.34x
5Y Avg
255.90x
Market Cap
$59.33B
Interest Coverage Ratio
41.70x
TTM Avg
40.82x
3Y Avg
39.75x
5Y Avg
41.13x
| NAME | MARKET CAP | INTEREST COVERAGE RATIO | TTM | 3Y | 5Y |
|---|---|---|---|---|---|
| Cadence Design Systems, Inc. (CDNS) | $78.47B | 14.16x | 14.13x | 20.59x | 31.07x |
| Datadog, Inc. (DDOG)vs › | $78.92B | -4.01x | 7.68x | 7.68x | 7.68x |
| Motorola Solutions, Inc. (MSI)vs › | $77.00B | 8.04x | 8.57x | 8.32x | 7.83x |
| Synopsys, Inc. (SNPS)vs › | $76.05B | 2.05x | 19.43x | 296.60x | 254.24x |
| Hewlett Packard Enterprise Company (HPE)vs › | $73.14B | 9.39x | 15.10x | 10.65x | 10.79x |
| Lumentum Holdings Inc. (LITE)vs › | $72.80B | 24.07x | 24.07x | 24.07x | 10.54x |
| Intuit Inc. (INTU)vs › | $85.55B | 22.98x | 21.45x | 17.64x | 31.42x |
| ASE Technology Holding Co., Ltd. (ASX)vs › | $87.64B | 9.07x | 7.58x | 158.34x | 255.90x |
| TE Connectivity plc (TEL)vs › | $59.33B | 41.70x | 40.82x | 39.75x | 41.13x |
| Monolithic Power Systems, Inc. (MPWR)vs › | $58.27B | N/A | N/A | N/A | N/A |
Interest Coverage
14.2x
Debt/Equity
0.36
Current Ratio
1.74
Formula: Interest Coverage = EBIT / Interest Expense
Reference ranges:
Note: Interest coverage should be compared with historical interest expense, operating income, and industry capital structure.
Interest Coverage = EBIT / Interest Expense
The interest coverage ratio measures operating earnings relative to interest expense.
Expanded definitions: Investopedia, Wikipedia, Corporate Finance Institute
| DATE | INTEREST COVERAGE RATIO |
|---|---|
| 2026-06-30 | 12.82x |
| 2026-03-31 | 13.64x |
| 2025-12-31 | 15.80x |
| 2025-09-30 | 15.59x |
| 2025-06-30 | 12.79x |
| 2025-03-31 | 12.41x |
| 2024-12-31 | 15.28x |
| 2024-09-30 | 14.29x |
| 2024-06-30 | 22.77x |
| 2024-03-31 | 28.76x |
| 2023-12-31 | 37.44x |
| 2023-09-30 | 32.33x |
| 2023-06-30 | 33.72x |
| 2023-03-31 | 34.82x |
| 2022-12-31 | 23.25x |
| 2022-10-01 | 47.73x |
| 2022-07-02 | 66.08x |
| 2022-04-02 | 77.64x |
| 2021-12-31 | 46.03x |
| 2021-10-02 | 46.24x |
| 2021-07-03 | 42.97x |
| 2021-04-03 | 48.36x |
| 2020-12-31 | 37.96x |
| 2020-09-26 | 31.79x |
| 2020-06-27 | 25.69x |
| 2020-03-28 | 29.82x |
| 2019-12-31 | 25.79x |
| 2019-09-28 | 28.50x |
| 2019-06-29 | 26.86x |
| 2019-03-30 | 23.82x |
| 2018-12-31 | 26.33x |
| 2018-09-29 | 20.02x |
| 2018-06-30 | 13.95x |
| 2018-03-31 | 12.31x |
| 2017-12-31 | 12.11x |
| 2017-09-30 | 12.91x |
| 2017-07-01 | 13.23x |
| 2017-04-01 | 12.29x |
| 2016-12-31 | 8.35x |
| 2016-10-01 | 11.04x |
| 2016-07-02 | 11.35x |
| 2016-04-02 | 10.83x |
| 2015-12-31 | 19.49x |
| 2015-10-03 | 18.65x |
| 2015-07-04 | 9.34x |
| 2015-04-04 | 4.19x |
| 2014-12-31 | 6.25x |
| 2014-09-27 | 7.18x |
| 2014-06-28 | 4.82x |
| 2014-03-29 | 5.82x |
| 2013-12-31 | 4.11x |
| 2013-09-28 | 5.00x |
| 2013-06-29 | 4.74x |
| 2013-03-30 | 6.28x |
| 2012-12-31 | 6.32x |
| 2012-09-29 | 6.80x |
| 2012-06-30 | 5.91x |
| 2012-03-31 | 5.31x |
| 2011-12-31 | 4.38x |
| 2011-10-01 | 2.97x |
| 2011-07-02 | 2.32x |
| 2011-04-02 | 1.60x |
| 2010-12-31 | -2.46x |
| 2010-10-02 | -0.29x |
| 2010-07-03 | 0.75x |
| 2010-04-03 | -0.72x |
| 2009-12-31 | -1.55x |
| 2009-10-03 | -1.39x |
| 2009-07-04 | -7.40x |
| 2009-04-04 | -6.87x |
| 2008-09-27 | -15.50x |
| 2008-06-28 | 2.88x |
| 2008-03-29 | -3.91x |
| 2007-12-31 | 12.00x |