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 8.66x is 24% below its 5-year average of 11.43x, near the low end of its 5-year range (6.48x–18.92x).
6.45% below its 12-month average of 9.26x.
Reported quarterly interest coverage; no daily interpolation. Q2 FY2026 (2026-08-02): 11.73x.
INTEREST COVERAGE RATIO
8.66x
INTEREST COVERAGE RATIO AVG TTM
9.26x
INTEREST COVERAGE RATIO AVG 3Y
9.28x
INTEREST COVERAGE RATIO AVG 5Y
11.43x
INTEREST COVERAGE RATIO AVG 10Y
12.82x
INTEREST COVERAGE RATIO AVG 15Y
12.74x
INTEREST COVERAGE RATIO AVG 20Y
12.02x
CURRENT VS TTM AVG
-6.45%
CURRENT VS 3Y AVG
-6.71%
CURRENT VS 5Y AVG
-24.23%
CURRENT VS 10Y AVG
-32.46%
CURRENT VS 15Y AVG
-32.03%
CURRENT VS 20Y AVG
-27.98%
SECTOR MEDIAN · CONSUMER CYCLICAL
6.67x
median of 85 covered companies
CURRENT VS SECTOR MEDIAN
+29.84%
vs the sector median at left
The Home Depot, Inc.
Market Cap
$309.55B
Interest Coverage Ratio
8.66x
TTM Avg
9.26x
3Y Avg
9.28x
5Y Avg
11.43x
Market Cap
$262.22B
Interest Coverage Ratio
6.09x
TTM Avg
10.38x
3Y Avg
8.25x
5Y Avg
6.79x
Market Cap
$235.63B
Interest Coverage Ratio
15.36x
TTM Avg
15.31x
3Y Avg
27.30x
5Y Avg
33.18x
Market Cap
$226.14B
Interest Coverage Ratio
62.47x
TTM Avg
59.75x
3Y Avg
64.93x
5Y Avg
66.06x
Market Cap
$180.10B
Interest Coverage Ratio
7.83x
TTM Avg
7.80x
3Y Avg
7.98x
5Y Avg
7.78x
Market Cap
$171.77B
Interest Coverage Ratio
116.68x
TTM Avg
110.46x
3Y Avg
106.55x
5Y Avg
100.97x
Market Cap
$139.30B
Interest Coverage Ratio
97.00x
TTM Avg
89.96x
3Y Avg
77.79x
5Y Avg
59.02x
Market Cap
$134.39B
Interest Coverage Ratio
5.74x
TTM Avg
5.79x
3Y Avg
7.78x
5Y Avg
7.72x
Market Cap
$114.05B
Interest Coverage Ratio
6.60x
TTM Avg
8.11x
3Y Avg
9.11x
5Y Avg
8.40x
| NAME | MARKET CAP | INTEREST COVERAGE RATIO | TTM | 3Y | 5Y |
|---|---|---|---|---|---|
| The Home Depot, Inc. (HD) | $309.55B | 8.66x | 9.26x | 9.28x | 11.43x |
| Alibaba Group Holding Limited (BABA)vs › | $262.22B | 6.09x | 10.38x | 8.25x | 6.79x |
| LVMH Moët Hennessy - Louis Vuitton, Société Européenne (LVMUY)vs › | $235.63B | 15.36x | 15.31x | 27.30x | 33.18x |
| Toyota Motor Corporation (TM)vs › | $226.14B | 62.47x | 59.75x | 64.93x | 66.06x |
| McDonald's Corporation (MCD)vs › | $180.10B | 7.83x | 7.80x | 7.98x | 7.78x |
| Hermes International Societe en commandite par actions Unsponsored ADR (HESAY)vs › | $171.77B | 116.68x | 110.46x | 106.55x | 100.97x |
| The TJX Companies, Inc. (TJX)vs › | $139.30B | 97.00x | 89.96x | 77.79x | 59.02x |
| Booking Holdings Inc. (BKNG)vs › | $134.39B | 5.74x | 5.79x | 7.78x | 7.72x |
| Starbucks Corporation (SBUX)vs › | $114.05B | 6.60x | 8.11x | 9.11x | 8.40x |
| PDD Holdings Inc. (PDD)vs › | $111.89B | N/A | 961.51x | 642.87x | 642.87x |
Interest Coverage
8.7x
Debt/Equity
3.77
Current Ratio
1.08
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 |
|---|---|
| 2026-08-02 | 11.73x |
| 2026-05-03 | 8.15x |
| 2026-02-01 | 6.48x |
| 2025-11-02 | 8.52x |
| 2025-08-03 | 11.40x |
| 2025-05-04 | 8.35x |
| 2025-02-02 | 7.05x |
| 2024-10-27 | 8.67x |
| 2024-07-28 | 11.40x |
| 2024-04-28 | 10.47x |
| 2024-01-28 | 8.08x |
| 2023-10-29 | 11.10x |
| 2023-07-30 | 14.05x |
| 2023-04-30 | 11.71x |
| 2023-01-29 | 10.54x |
| 2022-10-30 | 14.89x |
| 2022-07-31 | 18.92x |
| 2022-05-01 | 15.94x |
| 2022-01-30 | 14.15x |
| 2021-10-31 | 16.99x |
| 2021-08-01 | 20.37x |
| 2021-05-02 | 17.05x |
| 2021-01-31 | 12.12x |
| 2020-11-01 | 14.27x |
| 2020-08-02 | 17.53x |
| 2020-05-03 | 10.11x |
| 2020-01-31 | 11.01x |
| 2019-11-03 | 13.07x |
| 2019-08-04 | 16.21x |
| 2019-05-05 | 12.49x |
| 2019-01-31 | 12.56x |
| 2018-10-28 | 15.54x |
| 2018-07-29 | 18.02x |
| 2018-04-29 | 12.95x |
| 2018-01-31 | 11.86x |
| 2017-10-29 | 13.68x |
| 2017-07-30 | 16.84x |
| 2017-04-30 | 13.19x |
| 2017-01-31 | 11.90x |
| 2016-10-30 | 13.50x |
| 2016-07-31 | 17.39x |
| 2016-05-01 | 12.61x |
| 2016-01-31 | 10.53x |
| 2015-11-01 | 12.07x |
| 2015-08-02 | 15.65x |
| 2015-05-03 | 13.18x |
| 2015-01-31 | 10.29x |
| 2014-11-02 | 11.71x |
| 2014-08-03 | 16.58x |
| 2014-05-04 | 11.92x |
| 2014-01-31 | 9.68x |
| 2013-11-03 | 12.01x |
| 2013-08-04 | 17.34x |
| 2013-05-05 | 12.77x |
| 2013-01-31 | 10.54x |
| 2012-10-28 | 11.18x |
| 2012-07-29 | 16.57x |
| 2012-04-29 | 10.99x |
| 2012-01-31 | 8.64x |
| 2011-10-30 | 9.97x |
| 2011-07-31 | 15.40x |
| 2011-05-01 | 10.09x |
| 2011-01-31 | 11.40x |
| 2010-10-31 | 9.92x |
| 2010-08-01 | 13.57x |
| 2010-05-02 | 9.19x |
| 2010-01-31 | 4.52x |
| 2009-11-01 | 7.52x |
| 2009-08-02 | 10.98x |
| 2009-05-03 | 5.44x |
| 2008-11-02 | 8.43x |
| 2008-08-03 | 12.68x |
| 2008-05-04 | 4.36x |
| 2007-10-28 | 11.45x |
| 2007-04-29 | 9.72x |
| 2007-01-31 | 13.02x |
| 2006-10-29 | 20.95x |
| 2006-07-30 | 29.74x |
| 2006-04-30 | 46.58x |
| 2006-01-31 | 75.85x |
| 2005-10-30 | 117.76x |
| 2005-07-31 | 142.15x |
| 2005-05-01 | 153.77x |
| 2005-01-31 | 151.55x |
| 2004-08-01 | 819.00x |
| 2004-05-02 | 436.50x |
| 2003-08-03 | 2066.00x |
| 2003-05-04 | 241.33x |
