Leonardo DRS, Inc. logo
DRSLeonardo DRS, Inc.

Interest Coverage Ratio: 126.00x

Is the interest coverage ratio high or low?

The interest coverage ratio of 126.00x is 518% above its 5-year average of 20.39x, near the high end of its 5-year range (3.13x–126.00x).

As of Thursday, June 25, 2026. 130.56% above its 12-month average of 54.65x.

Interest Coverage

DRS Interest Coverage Ratio

126.00x

Reported quarterly interest coverage; no daily interpolation.

+2123.53% 5Y
DRS Interest Coverage Ratio

DRS Average Interest Coverage Ratio Chart

DRS Interest Coverage Ratio

DRS Current vs Average Interest Coverage Ratio Chart

DRS Interest Coverage Ratio Metrics

INTEREST COVERAGE RATIO

126.00x

INTEREST COVERAGE RATIO AVG TTM

54.65x

INTEREST COVERAGE RATIO AVG 3Y

18.04x

INTEREST COVERAGE RATIO AVG 5Y

12.79x

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

+130.56%

CURRENT VS 3Y AVG

+598.40%

CURRENT VS 5Y AVG

+884.84%

CURRENT VS 10Y AVG

N/A

CURRENT VS 15Y AVG

N/A

CURRENT VS 20Y AVG

N/A

DRS Competitors' Interest Coverage Ratio

NAMEMARKET CAPINTEREST COVERAGE RATIOTTM3Y5Y
Leonardo DRS, Inc. (DRS)$11.94B126.00x54.65x18.04x12.79x
Allegion plc (ALLE)vs ›$11.77B8.51x8.08x7.88x8.33x
Pentair plc (PNR)vs ›$12.28B12.36x10.71x9.33x17.93x
Powell Industries, Inc. (POWL)vs ›$11.39BN/A47.61x48.35x62.70x
CNH Industrial N.V. (CNH)vs ›$12.78B1.80x2.10x3.45x3.77x
Huntington Ingalls Industries, Inc. (HII)vs ›$11.02B5.79x5.71x6.29x6.28x
Crane Company (CR)vs ›$12.91B37.54x25.31x15.54x11.94x
Advanced Energy Industries, Inc. (AEIS)vs ›$14.27B11.69x6.57x12.96x18.85x
Stanley Black & Decker, Inc. (SWK)vs ›$14.35B2.48x2.48x2.27x4.13x
Builders FirstSource, Inc. (BLDR)vs ›$9.47B2.87x5.28x10.98x11.08x

Financial Health Indicators

Interest Coverage

126.0x

Debt/Equity

0.17

Current Ratio

1.89

Formula: Interest Coverage = EBIT / Interest Expense

Reference ranges:

  • < 1.5x: EBIT is less than 1.5 times interest expense
  • 1.5x - 3x: EBIT is between 1.5 and 3 times interest expense
  • 3x - 5x: EBIT is between 3 and 5 times interest expense
  • > 5x: EBIT is more than 5 times interest expense

Note: Interest coverage should be compared with historical interest expense, operating income, and industry capital structure.

Interest Coverage Ratio Formula & Definition

Interest Coverage = EBIT / Interest Expense

The interest coverage ratio measures operating earnings relative to interest expense.

Expanded definitions: Investopedia, Wikipedia, Corporate Finance Institute

Interest Coverage Ratio FAQ

What is the interest coverage ratio for Leonardo DRS, Inc. (DRS)?
The interest coverage ratio for DRS stock is 126.00x.
Is Leonardo DRS, Inc.'s interest coverage ratio high or low?
The interest coverage ratio of 126.00x is 518% above its 5-year average of 20.39x, near the high end of its 5-year range (3.13x–126.00x).
What is the TTM average interest coverage ratio for Leonardo DRS, Inc. (DRS)?
The TTM average interest coverage ratio for DRS stock is 54.65x.
What is the 3Y average interest coverage ratio for Leonardo DRS, Inc. (DRS)?
The 3Y average interest coverage ratio for DRS stock is 18.04x.
What is the 5Y average interest coverage ratio for Leonardo DRS, Inc. (DRS)?
The 5Y average interest coverage ratio for DRS stock is 12.79x.

DRS Interest Coverage Ratio History

DATEINTEREST COVERAGE RATIO
2025-12-31126.00x
2025-09-3023.25x
2025-06-3035.00x
2025-03-3159.00x
2024-12-3130.00x
2024-09-3015.00x
2024-06-307.86x
2024-03-318.60x
2023-12-3111.67x
2023-09-305.90x
2023-06-304.67x
2023-03-313.13x
2022-12-3112.43x
2022-09-3041.78x
2022-06-304.20x
2022-03-317.00x
2021-12-3110.13x
2021-09-305.89x
2021-06-305.67x
2021-03-315.67x
2020-12-315.27x
2020-09-302.18x
2020-06-301.76x
2020-03-312.33x
2019-09-302.55x
2019-06-302.72x
2019-03-312.91x
2018-09-300.78x
2018-06-300.78x
2018-03-310.78x

About Leonardo DRS, Inc.

Established in Arlington, Virginia, in 1969, Leonardo DRS, Inc. is a leading supplier of advanced defense products and technologies. The company's diverse portfolio addresses military requirements across various environments, including land, air, sea, space, and cybersecurity, with additional applications in the commercial sector. Its operations are organized into two primary divisions: Advanced Sensing and Computing, and Integrated Mission Systems. DRS provides sophisticated sensing solutions, such as infrared systems for threat identification and improving situational awareness, alongside uncooled infrared technologies and systems designed to mitigate brownout conditions. Their electronic warfare (EW) capabilities encompass airborne, vehicle-mounted, and soldier-borne systems, supported by specialized EW software, training tools, and intelligence services. Furthermore, Leonardo DRS develops essential computing systems for military platforms like ground vehicles, ships, and submarines. These offerings include robust network and data distribution applications, integrated sensor systems, and resilient networked computing infrastructure. The company also specializes in force protection, delivering solutions for counter-unmanned aerial systems (C-UAS), short-range air defense, and active protection systems. Additionally, DRS is a key provider of power management and propulsion technologies, offering systems for power control, distribution, conversion, and propulsion—including hybrid electric drive systems, energy storage solutions, gas turbine packages, nuclear instrumentation and controls, and thermal management and refrigeration equipment. Leonardo DRS serves a broad client base, which includes the U.S. military, major aerospace and defense contractors, government intelligence agencies, and international armed forces.

Arlington, VA
7,000 employees
Industrials / Aerospace & Defense
Sector
Industrials
Industry
Aerospace & Defense
CEO
John A. Baylouny