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 3.54x is 723% above its 5-year average of -0.57x, around the middle of its 5-year range (-16.03x–21.47x).
As of the fiscal period ended Tuesday, March 31, 2026. 260.17% above its 12-month average of -2.21x.
Reported quarterly interest coverage; no daily interpolation.
INTEREST COVERAGE RATIO
3.54x
INTEREST COVERAGE RATIO AVG TTM
-2.21x
INTEREST COVERAGE RATIO AVG 3Y
0.80x
INTEREST COVERAGE RATIO AVG 5Y
-0.91x
INTEREST COVERAGE RATIO AVG 10Y
N/A
INTEREST COVERAGE RATIO AVG 15Y
N/A
INTEREST COVERAGE RATIO AVG 20Y
N/A
CURRENT VS TTM AVG
+260.17%
CURRENT VS 3Y AVG
+340.22%
CURRENT VS 5Y AVG
+486.94%
CURRENT VS 10Y AVG
N/A
CURRENT VS 15Y AVG
N/A
CURRENT VS 20Y AVG
N/A
SECTOR MEDIAN · TECHNOLOGY
7.66x
median of 140 covered companies
CURRENT VS SECTOR MEDIAN
-53.84%
vs the sector median at left
Datadog, Inc.
Market Cap
$95.39B
Interest Coverage Ratio
3.54x
TTM Avg
-2.21x
3Y Avg
0.80x
5Y Avg
-0.91x
Market Cap
$93.78B
Interest Coverage Ratio
14.16x
TTM Avg
15.96x
3Y Avg
28.33x
5Y Avg
31.72x
Market Cap
$98.92B
Interest Coverage Ratio
-23.64x
TTM Avg
N/A
3Y Avg
N/A
5Y Avg
N/A
Market Cap
$99.54B
Interest Coverage Ratio
33.10x
TTM Avg
37.10x
3Y Avg
46.88x
5Y Avg
47.77x
Market Cap
$101.53B
Interest Coverage Ratio
44.74x
TTM Avg
103.73x
3Y Avg
147.70x
5Y Avg
152.64x
Market Cap
$101.65B
Interest Coverage Ratio
-172.95x
TTM Avg
N/A
3Y Avg
N/A
5Y Avg
N/A
Market Cap
$86.46B
Interest Coverage Ratio
19.93x
TTM Avg
17.46x
3Y Avg
19.84x
5Y Avg
53.50x
Market Cap
$106.51B
Interest Coverage Ratio
8.88x
TTM Avg
10.38x
3Y Avg
12.94x
5Y Avg
25.25x
Market Cap
$115.00B
Interest Coverage Ratio
79.30x
TTM Avg
69.30x
3Y Avg
45.88x
5Y Avg
33.12x
| NAME | MARKET CAP | INTEREST COVERAGE RATIO | TTM | 3Y | 5Y |
|---|---|---|---|---|---|
| Datadog, Inc. (DDOG) | $95.39B | 3.54x | -2.21x | 0.80x | -0.91x |
| Cadence Design Systems, Inc. (CDNS)vs › | $93.78B | 14.16x | 15.96x | 28.33x | 31.72x |
| Cloudflare, Inc. (NET)vs › | $98.92B | -23.64x | N/A | N/A | N/A |
| Adobe Inc. (ADBE)vs › | $99.54B | 33.10x | 37.10x | 46.88x | 47.77x |
| Accenture plc (ACN)vs › | $101.53B | 44.74x | 103.73x | 147.70x | 152.64x |
| Snowflake Inc. (SNOW)vs › | $101.65B | -172.95x | N/A | N/A | N/A |
| Intuit Inc. (INTU)vs › | $86.46B | 19.93x | 17.46x | 19.84x | 53.50x |
| Automatic Data Processing, Inc. (ADP)vs › | $106.51B | 8.88x | 10.38x | 12.94x | 25.25x |
| ServiceNow, Inc. (NOW)vs › | $115.00B | 79.30x | 69.30x | 45.88x | 33.12x |
| Synopsys, Inc. (SNPS)vs › | $74.44B | 2.05x | 19.43x | 296.60x | 254.24x |
Interest Coverage
3.5x
Debt/Equity
0.41
Current Ratio
3.38
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 | 3.54x |
| 2025-12-31 | 1.12x |
| 2025-09-30 | -0.40x |
| 2025-06-30 | -11.10x |
| 2025-03-31 | -4.19x |
| 2024-12-31 | 3.55x |
| 2024-09-30 | 12.88x |
| 2024-06-30 | 8.54x |
| 2024-03-31 | 8.73x |
| 2023-12-31 | 21.47x |
| 2023-09-30 | -3.25x |
| 2023-06-30 | -14.42x |
| 2023-03-31 | -16.03x |
| 2022-12-31 | -11.47x |
| 2022-09-30 | -8.41x |
| 2022-06-30 | -0.69x |
| 2022-03-31 | 1.98x |
| 2021-12-31 | 1.51x |
| 2021-09-30 | -1.00x |
| 2021-06-30 | -1.95x |
| 2021-03-31 | -2.34x |
| 2020-12-31 | -0.69x |
| 2020-09-30 | -0.75x |
| 2020-06-30 | 0.15x |
