Dell-VMWare Tracking Stock (Dell-VMWare Tracking Stock) Interest Coverage : 3.30 (As of Oct. 2018)

View and export this data going back to 2016. Start your Free Trial

What is Dell-VMWare Tracking Stock 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. Dell-VMWare Tracking Stock's Operating Income for the three months ended in Oct. 2018 was $495 Mil. Dell-VMWare Tracking Stock's Interest Expense for the three months ended in Oct. 2018 was $-150 Mil. Dell-VMWare Tracking Stock's interest coverage for the quarter that ended in Oct. 2018 was 3.30. The higher the ratio, the stronger the company's financial strength is.

(1) 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 historical rank and industry rank for Dell-VMWare Tracking Stock's Interest Coverage or its related term are showing as below:

DVMT's Interest Coverage is not ranked ^*
in the Software industry.
Industry Median: 28.885
* 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.

Dell-VMWare Tracking Stock Interest Coverage Historical Data

The historical data trend for Dell-VMWare Tracking Stock'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.

Dell-VMWare Tracking Stock Interest Coverage Chart

Dell-VMWare Tracking Stock Annual Data

Trend

Jan17

Jan18

Interest Coverage

No Debt

Dell-VMWare Tracking Stock Quarterly Data
	Oct16	Jan17	Apr17	Jul17	Oct17	Jan18	Apr18	Jul18	Oct18
Interest Coverage	Get a 7-Day Free Trial				No Debt	No Debt	No Debt	No Debt	3.30

Competitive Comparison of Dell-VMWare Tracking Stock's Interest Coverage

For the Software - Infrastructure subindustry, Dell-VMWare Tracking Stock'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.

Dell-VMWare Tracking Stock's Interest Coverage Distribution in the Software Industry

For the Software industry and Technology sector, Dell-VMWare Tracking Stock's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Dell-VMWare Tracking Stock's Interest Coverage falls into.

Dell-VMWare Tracking Stock 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.

Dell-VMWare Tracking Stock's Interest Coverage for the fiscal year that ended in Jan. 2018 is calculated as

Here, for the fiscal year that ended in Jan. 2018, Dell-VMWare Tracking Stock's Interest Expense was $0 Mil. Its Operating Income was $1,689 Mil. And its Long-Term Debt & Capital Lease Obligation was $0 Mil.

Dell-VMWare Tracking Stock had no debt ⁽¹⁾.

Dell-VMWare Tracking Stock's Interest Coverage for the quarter that ended in Oct. 2018 is calculated as

Here, for the three months ended in Oct. 2018, Dell-VMWare Tracking Stock's Interest Expense was $-150 Mil. Its Operating Income was $495 Mil. And its Long-Term Debt & Capital Lease Obligation was $0 Mil.

Interest Coverage	=	-1	*	Operating Income (Q: Oct. 2018 )	/	Interest Expense (Q: Oct. 2018 )
	=	-1	*	495	/	-150
	=	3.30

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

Dell-VMWare Tracking Stock (NYSE:DVMT) 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 .

Dell-VMWare Tracking Stock Interest Coverage Related Terms

Thank you for viewing the detailed overview of Dell-VMWare Tracking Stock's Interest Coverage provided by GuruFocus.com. Please click on the following links to see related term pages.

Dell-VMWare Tracking Stock (Dell-VMWare Tracking Stock) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Technology » Software » Dell-VMWare Tracking Stock (NYSE:DVMT) » Definitions » Interest Coverage

Comparable Companies

Traded in Other Exchanges

N/A

Address

Website

https://www.delltechnologies.com

Dell-VMWare Tracking Stock was incorporated in the state of Delaware on January 31, 2013 under the name of Denali Holding Inc. It changed its name to Dell Technologies Inc. on August 25, 2016. On September 7, 2016, a merger subsidiary of Dell Technologies merged with and into EMC Corporation, with EMC Corporation surviving the merger as a wholly-owned subsidiary of Dell Technologies. The company has issued a tracking stock to track the performance of a portion of Dell Technologies' economic interest in the VMware business. It is an information technology company. The company offers virtualization and cloud infrastructure solutions, which enable organizations to manage IT resources across complex multi-cloud, multi-device environments.

Executives

Richard J Rothberg	officer: General Counsel & Secretary	ONE DELL WAY, ROUND ROCK TX 78682
William F Scannell	officer: President, Global Sales	EMC CORPORATION, 176 SOUTH STREET, HOPKINTON MA 01748
Thomas W Sweet	officer: Chief Financial Officer	ONE DELL WAY, ROUND ROCK TX 78682
Howard D Elias	officer: President, Services & Digital	C/O EMC CORPORATION, 176 SOUTH STREET, HOPKINTON MA 01748
Ellen Jamison Kullman	director	UNITED TECHNOLOGIES CORP, 10 FARM SPRINGS ROAD, FARMINGTON CT 06032
William D Green	director	C/O ACCENTURE, 161 N CLARK STREET, CHICAGO IL 60601
Radakovich Lynn Vojvodich	director	C/O BOOKING HOLDINGS INC., 800 CONNECTICUT AVENUE, NORWALK CT 06854
David W Dorman	director	CVS HEALTH., ONE CVS DRIVE, WOONSOCKET RI 02895
Jeffrey W Clarke	officer: COO & Vice Chairman	C/O DELL INC., ONE DELL WAY, ROUND ROCK TX 78682
Allison Dew	officer: Chief Marketing Officer	C/O DELL TECHNOLOGIES INC., ONE DELL WAY, ROUND ROCK TX 78682
Steven H Price	officer: Chief Human Resources Officer	ONE DELL WAY, ROUND ROCK TX 78682
Karen H Quintos	officer: Chief Customer Officer	ONE DELL WAY, ROUND ROCK TX 78682
Rory P Read	officer: Chief Operating Executive	ONE DELL WAY, ROUND ROCK TX 78682
Michael S Dell	director, 10 percent owner, officer: Chief Executive Officer	C/O DELL INC., ONE DELL WAY, ROUND ROCK TX 78682-2244
Brunilda Rios	officer: Chief Accounting Officer	C/O DELL TECHNOLOGIES INC., ONE DELL WAY, ROUND ROCK TX 78682