CATO (The Cato) Interest Coverage: N/A (As of Apr. 2026)

The Cato  (NYSE:CATO) 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 .

The Cato Interest Coverage Related Terms

The historical data trend for The Cato'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.

The Cato Interest Coverage Chart

The Cato Annual Data
	Trend	Jan17	Jan18	Jan19	Jan20	Jan21	Jan22	Jan23	Jan24	Jan25	Jan26
Interest Coverage		Get a 7-Day Free Trial					512.44	0.00	0.00	0.00	0.00

The Cato Quarterly Data
	Jul21	Oct21	Jan22	Apr22	Jul22	Oct22	Jan23	Apr23	Jul23	Oct23	Jan24	Apr24	Jul24	Oct24	Jan25	Apr25	Jul25	Oct25	Jan26	Apr26
Interest Coverage	Get a 7-Day Free Trial															N/A	N/A	N/A	0.00	N/A

CATO vs DXLG, BRIA, BIRD: Interest Coverage Comparison

For the Apparel Retail subindustry, The Cato'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.

The Cato Interest Coverage vs Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, The Cato's Interest Coverage distribution charts can be found below:

* The bar in red indicates where The Cato's Interest Coverage falls into.

The Cato 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

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

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

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

The Cato's Interest Coverage for the fiscal year that ended in Jan. 2026 is calculated as

Here, for the fiscal year that ended in Jan. 2026, The Cato's Interest Expense was $-0.1 Mil. Its Operating Income was $-14.1 Mil. And its Long-Term Debt & Capital Lease Obligation was $96.9 Mil.

The Cato's Interest Coverage for the quarter that ended in Apr. 2026 is calculated as

Here, for the three months ended in Apr. 2026, The Cato's Interest Expense was $0.0 Mil. Its Operating Income was $8.6 Mil. And its Long-Term Debt & Capital Lease Obligation was $92.9 Mil.

* 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.

The Cato Business Description