Stryker Corporation (SYK)
Interest coverage
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) | US$ in thousands | 3,888,000 | 2,841,000 | 2,584,000 | 2,223,000 | 2,713,000 |
| Interest expense | US$ in thousands | 356,000 | 337,000 | 337,000 | 315,000 | 287,000 |
| Interest coverage | 10.92 | 8.43 | 7.67 | 7.06 | 9.45 |
December 31, 2023 calculation
Interest coverage = EBIT ÷ Interest expense
= $3,888,000K ÷ $356,000K
= 10.92
As the interest coverage ratio for Stryker Corp. is not provided in the table, we are unable to assess the company's ability to meet its interest obligations based on this information alone. To calculate the interest coverage ratio, we typically use the formula:
Interest Coverage Ratio = Earnings Before Interest and Taxes (EBIT) / Interest Expense
Without the specific values for EBIT and Interest Expense for the respective years, we cannot compute the interest coverage ratio and thus cannot provide a detailed analysis of Stryker Corp.'s ability to cover its interest payments. It is important to note that a higher interest coverage ratio indicates a company is more capable of servicing its debt, whereas a lower ratio may suggest potential financial distress. Further data would be necessary to fully evaluate Stryker Corp.'s financial health in terms of interest coverage.
Peer comparison
Dec 31, 2023