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Boston Scientific Interest Coverage

: 8.09 (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. Boston Scientific's Operating Income for the three months ended in Jun. 2022 was $518 Mil. Boston Scientific's Interest Expense for the three months ended in Jun. 2022 was $-64 Mil. Boston Scientific's interest coverage for the quarter that ended in Jun. 2022 was 8.09. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Boston Scientific's Interest Coverage or its related term are showing as below:

BSX' s Interest Coverage Range Over the Past 10 Years
Min: 1.89   Med: 3.93   Max: 6.88
Current: 3.75


BSX's Interest Coverage is ranked worse than
90.65% of 428 companies
in the Medical Devices & Instruments industry
Industry Median: 38.10 vs BSX: 3.75

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


Boston Scientific Interest Coverage Historical Data

The historical data trend for Boston Scientific'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.

Boston Scientific 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 6.69 6.88 3.68 1.89 5.35

Boston Scientific 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 6.06 5.33 5.51 1.73 8.09

Competitive Comparison

For the Medical Devices subindustry, Boston Scientific'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.

   

Boston Scientific Interest Coverage Distribution

For the Medical Devices & Instruments industry and Healthcare sector, Boston Scientific's Interest Coverage distribution charts can be found below:

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



Boston Scientific 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.

Boston Scientific'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, Boston Scientific's Interest Expense was $-341 Mil. Its Operating Income was $1,824 Mil. And its Long-Term Debt & Capital Lease Obligation was $9,190 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2021 )/Interest Expense (A: Dec. 2021 )
=-1*1824/-341
=5.35

Boston Scientific's Interest Coverage for the quarter that ended in Jun. 2022 is calculated as

Here, for the three months ended in Jun. 2022, Boston Scientific's Interest Expense was $-64 Mil. Its Operating Income was $518 Mil. And its Long-Term Debt & Capital Lease Obligation was $9,157 Mil.

Interest Coverage=-1* Operating Income (Q: Jun. 2022 )/Interest Expense (Q: Jun. 2022 )
=-1*518/-64
=8.09

* 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.


Boston Scientific  (NYSE:BSX) 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 .


Boston Scientific Interest Coverage Related Terms

Thank you for viewing the detailed overview of Boston Scientific's Interest Coverage provided by GuruFocus.com. Please click on the following links to see related term pages.


Boston Scientific Business Description

Boston Scientific logo
Address
300 Boston Scientific Way, Marlborough, MA, USA, 01752-1234
Boston Scientific produces less invasive medical devices that are inserted into the human body through small openings or cuts. It manufactures products for use in angioplasty, blood clot filtration, cardiac rhythm management, catheter-directed ultrasound imaging, structural heart disease, upper gastrointestinal tract diagnostics, interventional oncology, and treatment of incontinence. The firm markets its devices to healthcare professionals and institutions globally. Foreign sales account for nearly half of the firm's total sales.
Executives
Wichmann David S director UNITEDHEALTH GROUP INC 9900 BREN RD E MINNETONKA MN 55343
Brown Vance R officer: SVP, GC and Corp. Secretary C/O BOSTON SCIENTIFIC CORPORATION 300 BOSTON SCIENTIFIC WAY MARLBOROUGH MA 01752
Olson Scott officer: SVP & Pres, Rhythm Management C/O BOSTON SCIENTIFIC CORPORATION 300 BOSTON SCIENTIFIC WAY MARLBOROUGH MA 01752
Scanlon Meghan officer: SVP,Pres,Urology Pelvic Health C/O BOSTON SCIENTIFIC CORPORATION 300 BOSTON SCIENTIFIC WAY MARLBOROUGH MA 01752
Monson Jonathan officer: VP, Corp Controller and CAO C/O BOSTON SCIENTIFIC CORPORATION 300 BOSTON SCIENTIFIC WAY MARLBOROUGH MA 01752
Fujimori Yoshiaki director 300 BOSTON SCIENTIFIC WAY MARLBOROUGH MA 01752
James Donna director ONE MIRANOVA PLACE SUITE 1040 COLUMBUS OH 43215
Zane Ellen M director C/O TUFTS-NEW ENGLAND MEDICAL CENTER 750 WASHINGTON STREET, TUFTS-NEMC #451 BOSTON MA 02111
Sununu John E director C/O BOSTON SCIENTIFIC CORPORATION 300 BOSTON SCIENTIFIC WAY MARLBOROUGH MA 01752
Connors Nelda J director BOSTON SCIENTIFIC CORPORATION 300 BOSTON SCIENTIFIC WAY MARLBOROUGH MA 01752-1234
Ludwig Edward J director C/O BECTON DICKERSON & CO 1 BECTON DR FRANKLIN LAKES NJ 07417
Roux David J director C/O BOSTON SCIENTIFIC CORPORATION 300 BOSTON SCIENTIFIC WAY MARLBOROUGH MA 01752
Dockendorff Charles J director COVIDIEN LTD. 15 HAMPSHIRE STREET MANSFIELD MA 02048
Macmillan Stephen P director 250 CAMPUS DRIVE MARLBOROUGH MA 01752
Wang Xin Warren officer: SVP and Pres, Asia Pacific C/O BOSTON SCIENTIFIC CORPORATION 300 BOSTON SCIENTIFIC WAY MARLBOROUGH MA 01752

Boston Scientific Headlines

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