Interest coverage ratio is a measure that assesses a company's ability to manage the cost of its debt. Both investors and bank lenders use the interest coverage ratio to assess a company's financial ...

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A leverage ratio measures the level of debt being used by a business. There are several different types of leverage ratios, including equity multiplier, debt-to-equity (D/E) ratio, and degree of ...

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ICR measures if a company can cover its debt interest; calculate by dividing EBIT by interest expense. An ICR under 1.0 signals financial trouble; analysts prefer a minimum ICR of 2.0. For investing, ...