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Pep Boys - Manny Moe & Jack (Pep Boys - Manny Moe & Jack) Interest Coverage : 1.38 (As of Oct. 2015)


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What is Pep Boys - Manny Moe & Jack Interest Coverage?

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income by its Interest Expense. Pep Boys - Manny Moe & Jack's Operating Income for the three months ended in Oct. 2015 was $4 Mil. Pep Boys - Manny Moe & Jack's Interest Expense for the three months ended in Oct. 2015 was $-3 Mil. Pep Boys - Manny Moe & Jack's interest coverage for the quarter that ended in Oct. 2015 was 1.38. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Pep Boys - Manny Moe & Jack's Interest Coverage or its related term are showing as below:


PBY's Interest Coverage is not ranked *
in the Vehicles & Parts industry.
Industry Median: 7.72
* Ranked among companies with meaningful Interest Coverage only.

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.


Pep Boys - Manny Moe & Jack Interest Coverage Historical Data

The historical data trend for Pep Boys - Manny Moe & Jack's Interest Coverage can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Note: For Interest Coverage, "No debt" indicates no long-term debt. An indication of "No Debt" does not necessarily mean that the company has no long-term debt obligations; it could be due to missing data in the quarterly or annual report. Use caution when interpreting this information.

* Premium members only.

Pep Boys - Manny Moe & Jack Interest Coverage Chart

Pep Boys - Manny Moe & Jack Annual Data
Trend Jan06 Jan07 Jan08 Jan09 Jan10 Jan11 Jan12 Jan13 Jan14 Jan15
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 3.09 2.49 0.34 1.51 -

Pep Boys - Manny Moe & Jack Quarterly Data
Jan11 Apr11 Jul11 Oct11 Jan12 Apr12 Jul12 Oct12 Jan13 Apr13 Jul13 Oct13 Jan14 Apr14 Jul14 Oct14 Jan15 Apr15 Jul15 Oct15
Interest Coverage Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.16 - 6.95 3.24 1.38

Competitive Comparison of Pep Boys - Manny Moe & Jack's Interest Coverage

For the Auto Parts subindustry, Pep Boys - Manny Moe & Jack's Interest Coverage, along with its competitors' market caps and Interest Coverage data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Pep Boys - Manny Moe & Jack's Interest Coverage Distribution in the Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, Pep Boys - Manny Moe & Jack's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Pep Boys - Manny Moe & Jack's Interest Coverage falls into.



Pep Boys - Manny Moe & Jack Interest Coverage Calculation

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

If Interest Expense is negative and Operating Income is positive, then

Interest Coverage=-1* Operating Income /Interest Expense

Else if Interest Expense is negative and Operating Income is negative, then

The company did not have earnings to cover the interest expense.

Else if Interest Expense is 0 and Long-Term Debt & Capital Lease Obligation is 0, then

The company had no debt (1).


Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Pep Boys - Manny Moe & Jack's Interest Coverage for the fiscal year that ended in Jan. 2015 is calculated as

Here, for the fiscal year that ended in Jan. 2015, Pep Boys - Manny Moe & Jack's Interest Expense was $-14 Mil. Its Operating Income was $-19 Mil. And its Long-Term Debt & Capital Lease Obligation was $211 Mil.

Pep Boys - Manny Moe & Jack did not have earnings to cover the interest expense.

Pep Boys - Manny Moe & Jack's Interest Coverage for the quarter that ended in Oct. 2015 is calculated as

Here, for the three months ended in Oct. 2015, Pep Boys - Manny Moe & Jack's Interest Expense was $-3 Mil. Its Operating Income was $4 Mil. And its Long-Term Debt & Capital Lease Obligation was $193 Mil.

Interest Coverage=-1* Operating Income (Q: Oct. 2015 )/Interest Expense (Q: Oct. 2015 )
=-1*4.425/-3.217
=1.38

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

The higher the ratio, the stronger the company's Financial Strength is.


Pep Boys - Manny Moe & Jack  (NYSE:PBY) Interest Coverage Explanation

Ben Graham requires that a company has a minimum interest coverage of 5 with the companies he invested. If the interest coverage is less than 2, the company is burdened by debt. Any business slow or recession may drag the company into a situation where it cannot pay the interest on its debt.

Interest Coverage is an important factor when GuruFocus ranks a company's overage Financial Strength .


Pep Boys - Manny Moe & Jack Interest Coverage Related Terms

Thank you for viewing the detailed overview of Pep Boys - Manny Moe & Jack's Interest Coverage provided by GuruFocus.com. Please click on the following links to see related term pages.


Pep Boys - Manny Moe & Jack (Pep Boys - Manny Moe & Jack) Business Description

Traded in Other Exchanges
N/A
Address
Pep Boys - Manny Moe & Jack began operations in 1921. The Company together with its subsidiaries offers automotive service, tires, parts and accessories. The Company operates in the U.S. automotive aftermarket, which has two general lines of business: the Service business, commonly known as Do-It-For-Me, or "DIFM" (service labor, installed merchandise and tires) and the Retail business, commonly known as Do-It-Yourself, or "DIY" (retail merchandise) and commercial. The Company's store format is the Supercenter, which serves both "DIFM" and "DIY" customers with quality service offerings and merchandise. The Company is complementing the existing Supercenter store base with Service & Tire Centers. These Service & Tire Centers are designed to capture market share and leverage the existing Supercenter and support infrastructure. The Company currently operates stores in 35 states and Puerto Rico. The Company has eight operating segments defined by geographic regions. Each Pep Boys Supercenter carries a similar product line, with variations based on the number and type of cars in the market where the store is located. A Pep Boys Service & Tire Center carries tires and a limited selection of its products. The Company's product lines include: tires batteries; new and remanufactured parts for domestic and import vehicles; chemicals and maintenance items; fashion, electronic, and performance accessories; and a limited amount of select non-automotive merchandise. In addition to offering various high quality name brand products, the Company sells an array of high quality products under various private label names. The Company sells tires under the names DEFINITY, FUTURA and CORNELL, and batteries under the name PROSTART. It also sells wheel covers under the name FUTURA; air filters, anti-freeze, chemicals, cv axles, hub assemblies, lubricants, oil, oil filters, oil treatments, transmission fluids, custom wheels and wiper blades under the name PROLINE; alternators, battery booster packs, alkaline type batteries and starters under the name PROSTART; power steering hoses, chassis parts and power steering pumps under the name PROSTEER; brakes under the name PROSTOP and brakes, batteries, starters, ignitions and chassis under the name VALUEGRADE. The Company's commercial automotive parts delivery program, branded PEP EXPRESS PARTS, is designed to increase the Company's market share with the professional installer and to leverage its inventory investment. The program satisfies the commercial customer's automotive inventory needs by taking advantage of the breadth and quality of the Company's parts inventory as well as its experience supplying its own service bays and mechanics. The Company has a point-of-sale system in all of its stores, which gathers sales and inventory data by stock-keeping unit from each store on a daily basis. It has an electronic parts catalog that allows its associates to efficiently look up the parts that its customers need
Executives
Andrea Weiss director 23 RAMRAPO COURT WEST, GLENROCK NJ 07452
James A Mitarotonda director 888 SEVENTH AVENUE 17TH FL, NEW YORK NY 10019
Robert L Nardelli director 2455 PACES FERRY ROAD, ATLANTA GA 30339
Liebau Frederic Jack Jr director P.O. BOX 2200, PASADENA CA 91102-2200
Robert H Hotz director C/O MIKASA, 20633 S FORDYCE AVENUE, LONG BEACH CA 90810
Robert Rosenblatt director C/O TOMMY HILFIGER USA INC, 25 W 39TH STREET, NEW YORK NY 10018
Jane Scaccetti director 3111 W ALLEGHENY AVE, PHILADELPHIA PA 19132
Bruce M Lisman director C/O MERCHANTS BANK, 275 KENNEDY DR, S. BURLINGTON VT 05403
Scott P Sider director, officer: Chief Executive Officer THE HERTZ CORPORATION, 225 BRAE BOULEVARD, PARK RIDGE NJ 07656
Matthew Goldfarb director C/O DIEBOLD NIXDORF, INCORPORATED, 5995 MAYFAIR ROAD, NORTH CANTON OH 44720
Icahn Enterprises Holdings L.p. 10 percent owner 16690 COLLINS AVE,, PH, SUNNY ISLES FL 33160
Carl C Icahn 10 percent owner C/O ICAHN ENTERPRISES L.P., 16690 COLLINS AVE., PH-1, SUNNY ISLES BEACH FL 33160
Ggcp, Inc. 10 percent owner 189 MASON STREET, GREENWICH CT 06830
Gamco Investors, Inc. Et Al 10 percent owner 191 MASON STREET, GREENWICH CT 06830
Mario J Gabelli 10 percent owner 191 MASON STREET, GREENWICH CT 06830

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