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PDDPDD Holdings Inc.

Interest Coverage Ratio: 2746.16x

Is the interest coverage ratio high or low?

The interest coverage ratio of 2746.16x is 549% above its 4-year average of 422.89x, near the high end of its 4-year range (-453.98x–2746.16x).

As of Friday, June 26, 2026. 110.77% above its 12-month average of 1302.93x.

Interest Coverage

PDD Interest Coverage Ratio

2746.16x

Reported quarterly interest coverage; no daily interpolation.

+704.91% 5Y
PDD Interest Coverage Ratio

PDD Average Interest Coverage Ratio Chart

PDD Interest Coverage Ratio

PDD Current vs Average Interest Coverage Ratio Chart

PDD Interest Coverage Ratio Metrics

INTEREST COVERAGE RATIO

2746.16x

INTEREST COVERAGE RATIO AVG TTM

1302.93x

INTEREST COVERAGE RATIO AVG 3Y

448.52x

INTEREST COVERAGE RATIO AVG 5Y

N/A

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

+110.77%

CURRENT VS 3Y AVG

+512.27%

CURRENT VS 5Y AVG

N/A

CURRENT VS 10Y AVG

N/A

CURRENT VS 15Y AVG

N/A

CURRENT VS 20Y AVG

N/A

PDD Competitors' Interest Coverage Ratio

NAMEMARKET CAPINTEREST COVERAGE RATIOTTM3Y5Y
PDD Holdings Inc. (PDD)$104.33B2746.16x1302.93x448.52xN/A
Marriott International, Inc. (MAR)vs ›$99.91B5.12x5.27x6.49x5.06x
Starbucks Corporation (SBUX)vs ›$117.57B6.60x8.11x9.11x8.40x
BYD Company Limited (BYDDY)vs ›$87.85B8.57x16.34x17.47x12.43x
Royal Caribbean Cruises Ltd. (RCL)vs ›$86.53B4.95x3.77x3.19x3.19x
Lowe's Companies, Inc. (LOW)vs ›$124.44B6.65x6.77x8.12x9.87x
Airbnb, Inc. (ABNB)vs ›$84.21BN/A46.69x31.45x23.77x
MercadoLibre, Inc. (MELI)vs ›$82.09B21.63x19.41x13.82x9.74x
Hilton Worldwide Holdings Inc. (HLT)vs ›$77.53B4.34x4.25x4.59x4.18x
Carvana Co. (CVNA)vs ›$72.62B3.72x2.63x2.63x2.63x

Financial Health Indicators

Interest Coverage

2746.2x

Debt/Equity

0.01

Current Ratio

2.45

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 PDD Holdings Inc. (PDD)?
The interest coverage ratio for PDD stock is 2746.16x.
Is PDD Holdings Inc.'s interest coverage ratio high or low?
The interest coverage ratio of 2746.16x is 549% above its 4-year average of 422.89x, near the high end of its 4-year range (-453.98x–2746.16x).
What is the TTM average interest coverage ratio for PDD Holdings Inc. (PDD)?
The TTM average interest coverage ratio for PDD stock is 1302.93x.
What is the 3Y average interest coverage ratio for PDD Holdings Inc. (PDD)?
The 3Y average interest coverage ratio for PDD stock is 448.52x.

PDD Interest Coverage Ratio History

DATEINTEREST COVERAGE RATIO
2023-12-312746.16x
2023-09-301364.35x
2023-06-301065.49x
2023-03-31592.88x
2022-12-31745.74x
2022-09-30764.81x
2022-06-30661.48x
2022-03-31170.44x
2021-12-3122.79x
2021-09-307.17x
2021-06-306.79x
2021-03-31-12.36x
2020-12-31-7.36x
2020-09-30-7.82x
2020-06-30-10.06x
2020-03-31-29.19x
2019-12-31-15.28x
2019-09-30-453.98x

About PDD Holdings Inc.

PDD Holdings Inc., a multinational commerce group that owns and operates a portfolio of businesses. It operates Pinduoduo platform which provides various product categories, including agricultural produce, apparel, shoes, bags, mother and childcare products, food and beverages, consumer electronics, electronic appliances, furniture and household goods, cosmetics and other personal care items, sports and fitness, and auto accessories; and Temu, an online platform, which enables merchants to streamline their manufacturing and commercial operations. The company was formerly known as Pinduoduo Inc. and changed its name to PDD Holdings Inc. in February 2023. PDD Holdings Inc. was incorporated in 2015 and is based in Dublin, Ireland.

Dublin
23,465 employees
Consumer Cyclical / Software - Services
Sector
Consumer Cyclical
Industry
Software - Services
CEO
Lei Chen