GURUFOCUS.COM » STOCK LIST » Energy » Oil & Gas » NuStar Energy LP (NYSE:NS) » Definitions » Interest Coverage

NuStar Energy LP (NuStar Energy LP) Interest Coverage : 2.11 (As of Dec. 2023)


View and export this data going back to 2001. Start your Free Trial

What is NuStar Energy LP 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. NuStar Energy LP's Operating Income for the three months ended in Dec. 2023 was $132 Mil. NuStar Energy LP's Interest Expense for the three months ended in Dec. 2023 was $-63 Mil. NuStar Energy LP's interest coverage for the quarter that ended in Dec. 2023 was 2.11. The higher the ratio, the stronger the company's financial strength is.

Warning Sign:

Ben Graham prefers companies' interest coverage to be at least 5. NuStar Energy LP interest coverage is 1.94, which is low.

The historical rank and industry rank for NuStar Energy LP's Interest Coverage or its related term are showing as below:

NS' s Interest Coverage Range Over the Past 10 Years
Min: 1.69   Med: 2.07   Max: 2.96
Current: 1.94


NS's Interest Coverage is ranked worse than
83.44% of 761 companies
in the Oil & Gas industry
Industry Median: 6.72 vs NS: 1.94

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


NuStar Energy LP Interest Coverage Historical Data

The historical data trend for NuStar Energy LP'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.

NuStar Energy LP Interest Coverage Chart

NuStar Energy LP Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.14 1.90 1.99 2.18 1.94

NuStar Energy LP Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
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 2.31 2.07 1.77 1.83 2.11

Competitive Comparison of NuStar Energy LP's Interest Coverage

For the Oil & Gas Midstream subindustry, NuStar Energy LP'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.


NuStar Energy LP's Interest Coverage Distribution in the Oil & Gas Industry

For the Oil & Gas industry and Energy sector, NuStar Energy LP's Interest Coverage distribution charts can be found below:

* The bar in red indicates where NuStar Energy LP's Interest Coverage falls into.



NuStar Energy LP 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.

NuStar Energy LP's Interest Coverage for the fiscal year that ended in Dec. 2023 is calculated as

Here, for the fiscal year that ended in Dec. 2023, NuStar Energy LP's Interest Expense was $-241 Mil. Its Operating Income was $469 Mil. And its Long-Term Debt & Capital Lease Obligation was $3,410 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2023 )/Interest Expense (A: Dec. 2023 )
=-1*469.149/-241.364
=1.94

NuStar Energy LP's Interest Coverage for the quarter that ended in Dec. 2023 is calculated as

Here, for the three months ended in Dec. 2023, NuStar Energy LP's Interest Expense was $-63 Mil. Its Operating Income was $132 Mil. And its Long-Term Debt & Capital Lease Obligation was $3,410 Mil.

Interest Coverage=-1* Operating Income (Q: Dec. 2023 )/Interest Expense (Q: Dec. 2023 )
=-1*132.071/-62.698
=2.11

* 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.


NuStar Energy LP  (NYSE:NS) 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 .


NuStar Energy LP Interest Coverage Related Terms

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


NuStar Energy LP (NuStar Energy LP) Business Description

Traded in Other Exchanges
Address
19003 IH-10 West, San Antonio, TX, USA, 78257
NuStar Energy LP is a US-based pipeline and terminal operator. The company along with its subsidiaries is engaged in the transportation of petroleum products and anhydrous ammonia; the terminalling and storage of crude oil and specialty chemicals, and the marketing of petroleum products. Its business is organized into the segments of; Pipeline, Storage, and Fuels Marketing. Geographically, the company operates in the United States and Foreign and derives key revenue from the Pipeline business.
Executives
Suzanne Allford Wade director 19003 IH-10W, SAN ANTONIO TX 78257
William E Greehey director 19003 IH-10 WEST, SAN ANTONIO TX 78257
Martin Salinas director 1001 NOBLE ENERGY WAY, HOUSTON TX 77070
Eddie Arthur Grier director 11700 PLAZA AMERICA DRIVE, SUITE 500, RESTON VA 20190
Daniel S. Oliver officer: SVP-Marketing and Bus Dev 19003 IH-10 WEST, SAN ANTONIO TX 78257
Del Alamo Jorge A. officer: SVP and Controller 19003 IH-10 WEST, SAN ANTONIO TX 78257
Dan J Hill director 19003 IH-10 WEST, SAN ANTONIO TX 78257
Jelynne Leblanc-burley director 19003 IH-10 WEST, SAN ANTONIO TX 78257
Jesse D Bates director 19003 IH-10 WEST, SAN ANTONIO TX 78257
William Grady Rosier director 1111 MILLCREEK DRIVE, SALADO TX 76571
Robert J Munch director 19003 IH-10 W, SAN ANTONIO TX 78257
Mary Rose Brown officer: EVP - Administration 19003 IH-10 WEST, SAN ANTONIO TX 78257
Bradley C Barron officer: EVP & General Counsel 19003 IH-10 WEST, SAN ANTONIO TX 78257
William B Burnett director 19003 IH-10 WEST, SAN ANTONIO TX 78257
Thomas R Shoaf officer: SVP & Controller 19003 IH-10 WEST, SAN ANTONIO TX 78257