The Cooper Companies, Inc. Common Stock (COO)
Interest coverage
| Oct 31, 2024 | Oct 31, 2023 | Oct 31, 2022 | Oct 31, 2021 | Oct 31, 2020 | ||
|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) | US$ in thousands | 705,700 | 518,200 | 532,600 | 514,600 | 303,300 |
| Interest expense | US$ in thousands | 114,300 | 105,300 | 57,300 | 23,100 | 36,800 |
| Interest coverage | 6.17 | 4.92 | 9.29 | 22.28 | 8.24 |
October 31, 2024 calculation
Interest coverage = EBIT ÷ Interest expense
= $705,700K ÷ $114,300K
= 6.17
The interest coverage ratio for The Cooper Companies, Inc. Common Stock has fluctuated over the past five years. The ratio was highest in October 2021 at 22.28, indicating that the company's operating income was more than sufficient to cover its interest expenses. This high ratio suggests a lower financial risk for creditors and potential investors.
In the following years, the interest coverage ratio decreased to 9.29 in October 2022, 4.92 in October 2023, and then increased to 6.17 in October 2024. While the ratio has shown some variability, it remains above 1, indicating that the company continues to generate enough operating income to cover its interest obligations.
Overall, the trend in The Cooper Companies, Inc. Common Stock's interest coverage ratio suggests that the company has generally been able to comfortably meet its interest payments, although there may have been some fluctuations in its financial performance. Investors and creditors may want to further investigate the reasons behind these fluctuations to assess the company's financial health and stability.
Peer comparison
Oct 31, 2024