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 13.61x is in line with its 5-year average of 14.70x, near the low end of its 5-year range (11.07x–19.86x).
As of the fiscal period ended Wednesday, December 31, 2025. 2.72% below its 12-month average of 13.99x.
Reported quarterly interest coverage; no daily interpolation.
INTEREST COVERAGE RATIO
13.61x
INTEREST COVERAGE RATIO AVG TTM
13.99x
INTEREST COVERAGE RATIO AVG 3Y
13.77x
INTEREST COVERAGE RATIO AVG 5Y
14.70x
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
-2.72%
CURRENT VS 3Y AVG
-1.16%
CURRENT VS 5Y AVG
-7.38%
CURRENT VS 10Y AVG
N/A
CURRENT VS 15Y AVG
N/A
CURRENT VS 20Y AVG
N/A
SECTOR MEDIAN · FINANCIAL SERVICES
5.21x
median of 90 covered companies
CURRENT VS SECTOR MEDIAN
+161.28%
vs the sector median at left
PayPal Holdings, Inc.
Market Cap
$50.47B
Interest Coverage Ratio
13.61x
TTM Avg
13.99x
3Y Avg
13.77x
5Y Avg
14.70x
Market Cap
$50.34B
Interest Coverage Ratio
3.09x
TTM Avg
2.15x
3Y Avg
3.65x
5Y Avg
2.81x
Market Cap
$50.97B
Interest Coverage Ratio
0.43x
TTM Avg
0.40x
3Y Avg
0.83x
5Y Avg
178.01x
Market Cap
$51.21B
Interest Coverage Ratio
0.82x
TTM Avg
0.71x
3Y Avg
1.34x
5Y Avg
2.60x
Market Cap
$49.07B
Interest Coverage Ratio
14.82x
TTM Avg
14.39x
3Y Avg
15.15x
5Y Avg
15.34x
Market Cap
$52.65B
Interest Coverage Ratio
26.49x
TTM Avg
26.49x
3Y Avg
26.49x
5Y Avg
26.49x
Market Cap
$44.83B
Interest Coverage Ratio
N/A
TTM Avg
N/A
3Y Avg
N/A
5Y Avg
N/A
Market Cap
$42.36B
Interest Coverage Ratio
2.27x
TTM Avg
2.27x
3Y Avg
2.27x
5Y Avg
2.27x
Market Cap
$42.07B
Interest Coverage Ratio
2.30x
TTM Avg
1.63x
3Y Avg
1.22x
5Y Avg
1.43x
| NAME | MARKET CAP | INTEREST COVERAGE RATIO | TTM | 3Y | 5Y |
|---|---|---|---|---|---|
| PayPal Holdings, Inc. (PYPL) | $50.47B | 13.61x | 13.99x | 13.77x | 14.70x |
| Discover Financial Services (DFS)vs › | $50.34B | 3.09x | 2.15x | 3.65x | 2.81x |
| State Street Corporation (STT)vs › | $50.97B | 0.43x | 0.40x | 0.83x | 178.01x |
| Fifth Third Bancorp (FITB)vs › | $51.21B | 0.82x | 0.71x | 1.34x | 2.60x |
| Ameriprise Financial, Inc. (AMP)vs › | $49.07B | 14.82x | 14.39x | 15.15x | 15.34x |
| Nasdaq, Inc. (NDAQ)vs › | $52.65B | 26.49x | 26.49x | 26.49x | 26.49x |
| State Street SPDR Dow Jones Industrial Average ETF Trust (DIA)vs › | $44.83B | N/A | N/A | N/A | N/A |
| Prudential Financial, Inc. (PRU)vs › | $42.36B | 2.27x | 2.27x | 2.27x | 2.27x |
| Ares Management Corporation (ARES)vs › | $42.07B | 2.30x | 1.63x | 1.22x | 1.43x |
| American International Group, Inc. (AIG)vs › | $41.66B | 9.80x | 9.09x | 7.49x | 8.04x |
Interest Coverage
13.6x
Debt/Equity
0.49
Current Ratio
1.29
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 |
|---|---|
| 2025-12-31 | 13.61x |
| 2025-09-30 | 13.45x |
| 2025-06-30 | 13.19x |
| 2025-03-31 | 14.85x |
| 2024-12-31 | 14.86x |
| 2024-09-30 | 13.12x |
| 2024-06-30 | 14.25x |
| 2024-03-31 | 13.58x |
| 2023-12-31 | 19.86x |
| 2023-09-30 | 13.58x |
| 2023-06-30 | 13.02x |
| 2023-03-31 | 11.48x |
| 2022-12-31 | 13.98x |
| 2022-09-30 | 12.85x |
| 2022-06-30 | 11.07x |
| 2022-03-31 | 12.05x |
| 2021-12-31 | 17.80x |
| 2021-09-30 | 17.98x |
| 2021-06-30 | 19.77x |
| 2021-03-31 | 17.97x |
| 2020-12-31 | 16.32x |
| 2020-09-30 | 16.84x |
| 2020-06-30 | 17.29x |
| 2020-03-31 | 10.76x |
| 2019-12-31 | 21.59x |
| 2019-09-30 | 24.03x |
| 2019-06-30 | 26.11x |
| 2019-03-31 | 23.55x |
| 2018-12-31 | 29.90x |
| 2018-09-30 | 22.27x |
| 2018-06-30 | 30.11x |
| 2018-03-31 | 33.38x |
| 2017-12-31 | 140.50x |
| 2017-09-30 | 423.00x |
