Basis: Latest reported fiscal quarter. 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 12.49x is 12% below its 5-year average of 14.23x, around the middle of its 5-year range (-13.17x–35.53x).
As of the fiscal period ended Tuesday, March 31, 2026. 2.19% above its 12-month average of 12.22x.
Reported quarterly interest coverage; no daily interpolation.
INTEREST COVERAGE RATIO
12.49x
INTEREST COVERAGE RATIO AVG TTM
12.22x
INTEREST COVERAGE RATIO AVG 3Y
11.13x
INTEREST COVERAGE RATIO AVG 5Y
14.56x
INTEREST COVERAGE RATIO AVG 10Y
20.68x
INTEREST COVERAGE RATIO AVG 15Y
25.91x
INTEREST COVERAGE RATIO AVG 20Y
N/A
CURRENT VS TTM AVG
+2.19%
CURRENT VS 3Y AVG
+12.17%
CURRENT VS 5Y AVG
-14.21%
CURRENT VS 10Y AVG
-39.60%
CURRENT VS 15Y AVG
-51.81%
CURRENT VS 20Y AVG
N/A
SECTOR MEDIAN · INDUSTRIALS
7.81x
median of 122 covered companies
CURRENT VS SECTOR MEDIAN
+59.78%
vs the sector median at left
Cummins Inc.
Market Cap
$87.51B
Interest Coverage Ratio
12.49x
TTM Avg
12.22x
3Y Avg
11.13x
5Y Avg
14.56x
Market Cap
$88.54B
Interest Coverage Ratio
7.78x
TTM Avg
8.94x
3Y Avg
12.16x
5Y Avg
13.22x
Market Cap
$90.56B
Interest Coverage Ratio
5.05x
TTM Avg
6.00x
3Y Avg
7.19x
5Y Avg
7.13x
Market Cap
$83.91B
Interest Coverage Ratio
9.13x
TTM Avg
8.69x
3Y Avg
9.57x
5Y Avg
11.00x
Market Cap
$82.56B
Interest Coverage Ratio
14.44x
TTM Avg
14.75x
3Y Avg
15.84x
5Y Avg
15.76x
Market Cap
$93.00B
Interest Coverage Ratio
22.03x
TTM Avg
15.60x
3Y Avg
9.21x
5Y Avg
7.01x
Market Cap
$81.89B
Interest Coverage Ratio
24.52x
TTM Avg
23.93x
3Y Avg
21.15x
5Y Avg
19.43x
Market Cap
$93.36B
Interest Coverage Ratio
5.36x
TTM Avg
5.91x
3Y Avg
6.65x
5Y Avg
6.58x
| NAME | MARKET CAP | INTEREST COVERAGE RATIO | TTM | 3Y | 5Y |
|---|---|---|---|---|---|
| Cummins Inc. (CMI) | $87.51B | 12.49x | 12.22x | 11.13x | 14.56x |
| United Parcel Service, Inc. (UPS)vs › | $88.54B | 7.78x | 8.94x | 12.16x | 13.22x |
| Waste Management, Inc. (WM)vs › | $90.56B | 5.05x | 6.00x | 7.19x | 7.13x |
| 3M Company (MMM)vs › | $90.91B | 6.34x | 5.25x | 5.76x | 8.68x |
| Emerson Electric Co. (EMR)vs › | $83.91B | 9.13x | 8.69x | 9.57x | 11.00x |
| Illinois Tool Works Inc. (ITW)vs › | $82.56B | 14.44x | 14.75x | 15.84x | 15.76x |
| Vertiv Holdings Co (VRT)vs › | $93.00B | 22.03x | 15.60x | 9.21x | 7.01x |
| Cintas Corporation (CTAS)vs › | $81.89B | 24.52x | 23.93x | 21.15x | 19.43x |
| CSX Corporation (CSX)vs › | $93.36B | 5.36x | 5.91x | 6.65x | 6.58x |
| Canadian Pacific Kansas City Ltd. (CP)vs › | $78.14B | 6.40x | 6.44x | 5.92x | 6.36x |
Interest Coverage
12.5x
Debt/Equity
0.66
Current Ratio
1.76
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 |
|---|---|
| 2026-03-31 | 12.49x |
| 2025-12-31 | 7.80x |
| 2025-09-30 | 11.99x |
| 2025-06-30 | 14.09x |
| 2025-03-31 | 14.73x |
| 2024-12-31 | 8.22x |
| 2024-09-30 | 12.65x |
| 2024-06-30 | 9.59x |
| 2024-03-31 | 10.37x |
| 2023-12-31 | -13.17x |
| 2023-09-30 | 9.79x |
| 2023-06-30 | 10.07x |
| 2023-03-31 | 11.79x |
| 2022-12-31 | 9.22x |
| 2022-09-30 | 10.26x |
| 2022-06-30 | 26.38x |
| 2022-03-31 | 35.53x |
| 2021-12-31 | 19.04x |
| 2021-10-03 | 23.79x |
| 2021-07-04 | 25.34x |
| 2021-04-04 | 28.93x |
| 2020-12-31 | 21.69x |
| 2020-09-27 | 26.80x |
| 2020-06-28 | 14.61x |
| 2020-03-29 | 27.57x |
| 2019-12-31 | 16.09x |
| 2019-09-29 | 26.88x |
| 2019-06-30 | 29.24x |
| 2019-03-31 | 24.97x |
| 2018-12-31 | 22.84x |
| 2018-09-30 | 26.77x |
| 2018-07-01 | 25.79x |
| 2018-04-01 | 22.08x |
| 2017-12-31 | 24.79x |
| 2017-10-01 | 34.56x |
| 2017-07-02 | 27.90x |
| 2017-04-02 | 30.00x |
| 2016-12-31 | 28.17x |
| 2016-10-02 | 24.00x |
| 2016-07-03 | 35.44x |
| 2016-04-03 | 24.74x |
| 2015-12-31 | 12.72x |
| 2015-09-27 | 34.81x |
| 2015-06-28 | 42.53x |
| 2015-03-29 | 39.14x |
| 2014-12-31 | 34.18x |
| 2014-09-28 | 43.93x |
| 2014-06-29 | 40.80x |
| 2014-03-30 | 30.18x |
| 2013-12-31 | 29.11x |
| 2013-09-29 | 65.50x |
| 2013-06-30 | 76.25x |
| 2013-03-31 | 69.00x |
| 2012-12-31 | 66.43x |
| 2012-09-30 | 54.78x |
| 2012-07-01 | 81.00x |
| 2012-04-01 | 81.00x |
| 2011-12-31 | 74.50x |
| 2011-09-25 | 58.09x |
| 2011-06-26 | 59.08x |
| 2011-03-27 | 52.90x |
| 2010-12-31 | 47.73x |
| 2010-09-26 | 39.55x |
| 2010-06-27 | 44.00x |
| 2010-03-28 | 27.33x |
| 2009-12-31 | 42.78x |
| 2009-09-27 | 16.33x |
| 2009-06-28 | 12.10x |
| 2009-03-29 | 4.14x |
| 2008-06-29 | 39.00x |
| 2008-03-30 | 29.00x |
