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Bristol-Myers Squibb Co Interest Coverage

: 8.44 (As of Jun. 2022)
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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. Bristol-Myers Squibb Co's Operating Income for the three months ended in Jun. 2022 was $2,642 Mil. Bristol-Myers Squibb Co's Interest Expense for the three months ended in Jun. 2022 was $-313 Mil. Bristol-Myers Squibb Co's interest coverage for the quarter that ended in Jun. 2022 was 8.44. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Bristol-Myers Squibb Co's Interest Coverage or its related term are showing as below:

BMY' s Interest Coverage Range Over the Past 10 Years
Min: 1.53   Med: 12.07   Max: 27.95
Current: 7.22


BMY's Interest Coverage is ranked worse than
69.89% of 651 companies
in the Drug Manufacturers industry
Industry Median: 21.28 vs BMY: 7.22

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


Bristol-Myers Squibb Co Interest Coverage Historical Data

The historical data trend for Bristol-Myers Squibb Co'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.

* Premium members only.

Bristol-Myers Squibb Co Annual Data
Trend Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21
Interest Coverage
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 17.58 27.95 9.01 1.53 5.53

Bristol-Myers Squibb Co Quarterly Data
Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22
Interest Coverage 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 Premium Member Only Premium Member Only Premium Member Only 7.10 5.33 6.97 8.19 8.44

Competitive Comparison

For the Drug Manufacturers - General subindustry, Bristol-Myers Squibb Co'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.

   

Bristol-Myers Squibb Co Interest Coverage Distribution

For the Drug Manufacturers industry and Healthcare sector, Bristol-Myers Squibb Co's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Bristol-Myers Squibb Co's Interest Coverage falls into.



Bristol-Myers Squibb Co 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.


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

Bristol-Myers Squibb Co's Interest Coverage for the fiscal year that ended in Dec. 2021 is calculated as

Here, for the fiscal year that ended in Dec. 2021, Bristol-Myers Squibb Co's Interest Expense was $-1,334 Mil. Its Operating Income was $7,378 Mil. And its Long-Term Debt & Capital Lease Obligation was $40,479 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2021 )/Interest Expense (A: Dec. 2021 )
=-1*7378/-1334
=5.53

Bristol-Myers Squibb Co's Interest Coverage for the quarter that ended in Jun. 2022 is calculated as

Here, for the three months ended in Jun. 2022, Bristol-Myers Squibb Co's Interest Expense was $-313 Mil. Its Operating Income was $2,642 Mil. And its Long-Term Debt & Capital Lease Obligation was $37,922 Mil.

Interest Coverage=-1* Operating Income (Q: Jun. 2022 )/Interest Expense (Q: Jun. 2022 )
=-1*2642/-313
=8.44

* 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.


Bristol-Myers Squibb Co  (NYSE:BMY) 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 .


Bristol-Myers Squibb Co Interest Coverage Related Terms

Thank you for viewing the detailed overview of Bristol-Myers Squibb Co's Interest Coverage provided by GuruFocus.com. Please click on the following links to see related term pages.


Bristol-Myers Squibb Co Business Description

Bristol-Myers Squibb Co logo
Address
430 East 29th Street, 14th Floor, New York, NY, USA, 10016
Bristol-Myers Squibb discovers, develops, and markets drugs for various therapeutic areas, such as cardiovascular, oncology, and immune disorders. A key focus for Bristol is immuno-oncology, where the firm is a leader in drug development. Unlike some of its more diversified peers, Bristol has exited several nonpharmaceutical businesses to focus on branded specialty drugs, which tend to support strong pricing power.
Executives
Greenlees Sharon officer: SVP & Controller BRISTOL MYERS SQUIBB ROUTE 206 & PROVINCE LINE ROAD PRINCETON NJ 08543
Shanahan Karin officer: EVP, Glob. Prod. Dev. & Supply BRISTOL MYERS SQUIBB ROUTE 206 & PROVINCE LINE ROAD PRINCETON NJ 08543
Meyers Gregory Scott officer: EVP, Chief Digital & Tech Off. BRISTOL MYERS SQUIBB ROUTE 206 & PROVINCE LINE ROAD PRINCETON NJ 08543
Weese Michelle officer: EVP, Corporate Affairs BRISTOL MYERS SQUIBB ROUTE 206 & PROVINCE LINE ROAD PRINCETON NJ 08543
Hidalgo Medina Manuel director BRISTOL MYERS SQUIBB 430 E. 29TH STREET, 14TH FLOOR NEW YORK NY 10016
Rice Derica W director 1000 NICOLLET MALL TPS-3155 MINNEAPOLIS MN 55403
Price Paula A director ONE CVS DRIVE WOONSOCKET RI 02895
Mily Elizabeth officer: EVP, Strategy & BD BRISTOL-MYERS SQUIBB COMPANY ROUTE 206 & PROVENCE LINE ROAD PRINCETON NJ 08540
Metcalfe Kathryn officer: EVP, Corporate Affairs BRISTOL-MYERS SQUIBB COMPANY ROUTE 206 & PROVINCE LINE ROAD PRINCETON NJ 08543
Vessey Rupert officer: Pres., Research & Early Dev. C/O CELGENE CORPORATION 86 MORRIS AVENUE SUMMIT NJ 07901
Elkins David V officer: EVP, Chief Financial Officer C/O BECTON, DICKINSON AND COMPANY 1 BECTON DRIVE FRANKLIN LAKES NJ 07417
Bonney Michael W director 65 HAYDEN AVE LEXINGTON MA 02421
Yale Phyllis R director
Ahmed Nadim officer: President, Hematology C/O CELGENE CORPORATION 86 MORRIS AVENUE SUMMIT NJ 07901
Haller Julia A director C/O CELGENE CORPORATION 86 MORRIS AVENUE SUMMIT NJ 07901

Bristol-Myers Squibb Co Headlines

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