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 3.06x is 308% above its 3-year average of 0.75x, near the high end of its 3-year range (-2.64x–3.80x).
As of the fiscal period ended Tuesday, March 31, 2026. 246.16% above its 12-month average of 0.88x.
Reported quarterly interest coverage; no daily interpolation.
INTEREST COVERAGE RATIO
3.06x
INTEREST COVERAGE RATIO AVG TTM
0.88x
INTEREST COVERAGE RATIO AVG 3Y
0.51x
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
+246.16%
CURRENT VS 3Y AVG
+494.52%
CURRENT VS 5Y AVG
N/A
CURRENT VS 10Y AVG
N/A
CURRENT VS 15Y AVG
N/A
CURRENT VS 20Y AVG
N/A
SECTOR MEDIAN · UTILITIES
2.38x
median of 40 covered companies
CURRENT VS SECTOR MEDIAN
+28.25%
vs the sector median at left
Talen Energy Corporation
Market Cap
$15.22B
Interest Coverage Ratio
3.06x
TTM Avg
0.88x
3Y Avg
0.51x
5Y Avg
N/A
Market Cap
$12.28B
Interest Coverage Ratio
2.65x
TTM Avg
2.67x
3Y Avg
2.67x
5Y Avg
2.93x
Market Cap
$18.38B
Interest Coverage Ratio
2.00x
TTM Avg
1.98x
3Y Avg
2.30x
5Y Avg
2.43x
Market Cap
$19.20B
Interest Coverage Ratio
2.42x
TTM Avg
2.50x
3Y Avg
2.65x
5Y Avg
2.88x
Market Cap
$10.57B
Interest Coverage Ratio
1.39x
TTM Avg
1.36x
3Y Avg
1.67x
5Y Avg
2.06x
Market Cap
$9.96B
Interest Coverage Ratio
0.35x
TTM Avg
0.45x
3Y Avg
0.68x
5Y Avg
0.99x
Market Cap
$8.31B
Interest Coverage Ratio
0.45x
TTM Avg
0.55x
3Y Avg
2.05x
5Y Avg
1.64x
Market Cap
$7.75B
Interest Coverage Ratio
2.69x
TTM Avg
2.32x
3Y Avg
3.23x
5Y Avg
4.09x
| NAME | MARKET CAP | INTEREST COVERAGE RATIO | TTM | 3Y | 5Y |
|---|---|---|---|---|---|
| Talen Energy Corporation (TLN) | $15.22B | 3.06x | 0.88x | 0.51x | N/A |
| Pinnacle West Capital Corporation (PNW)vs › | $12.28B | 2.65x | 2.67x | 2.67x | 2.93x |
| Alliant Energy Corporation (LNT)vs › | $18.38B | 2.00x | 1.98x | 2.30x | 2.43x |
| Evergy, Inc. (EVRG)vs › | $19.20B | 2.42x | 2.50x | 2.65x | 2.88x |
| The AES Corporation (AES)vs › | $10.57B | 1.39x | 1.36x | 1.67x | 2.06x |
| Brookfield Renewable Partners L.P. (BEP)vs › | $9.96B | 0.35x | 0.45x | 0.68x | 0.99x |
| NiSource Inc (NI)vs › | $21.59B | 2.87x | 2.84x | 2.96x | 2.71x |
| Clearway Energy, Inc. (CWEN-A)vs › | $8.31B | 0.45x | 0.55x | 2.05x | 1.64x |
| UGI Corporation (UGI)vs › | $7.75B | 2.69x | 2.32x | 3.23x | 4.09x |
| CMS Energy Corporation (CMS)vs › | $22.71B | 2.19x | 2.15x | 2.14x | 2.22x |
Interest Coverage
3.1x
Debt/Equity
6.24
Current Ratio
1.28
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 | 3.06x |
| 2025-12-31 | -2.64x |
| 2025-09-30 | 3.39x |
| 2025-06-30 | -0.42x |
| 2025-03-31 | 1.03x |
| 2024-12-31 | 0.25x |
| 2024-09-30 | 2.39x |
| 2024-06-30 | 0.44x |
| 2024-03-31 | 0.42x |
| 2023-12-31 | -1.24x |
| 2023-09-30 | 0.10x |
| 2023-06-30 | -1.21x |
| 2023-03-31 | 1.12x |
| 2022-09-30 | 3.80x |
