Stock Analysis on Net
Stock Analysis on Net
Microsoft Excel LibreOffice Calc

Costco Wholesale Corp. (NASDAQ:COST)

Analysis of Solvency Ratios

Beginner level

Solvency Ratios (Summary)

Costco Wholesale Corp., solvency ratios

Microsoft Excel LibreOffice Calc
Aug 30, 2020 Sep 1, 2019 Sep 2, 2018 Sep 3, 2017 Aug 28, 2016 Aug 30, 2015
Debt Ratios
Debt to equity 0.42 0.45 0.51 0.62 0.43 0.58
Debt to equity (including operating lease liability) 0.57 0.45 0.51 0.62 0.43 0.58
Debt to capital 0.29 0.31 0.34 0.38 0.30 0.37
Debt to capital (including operating lease liability) 0.36 0.31 0.34 0.38 0.30 0.37
Debt to assets 0.14 0.15 0.16 0.18 0.16 0.18
Debt to assets (including operating lease liability) 0.19 0.15 0.16 0.18 0.16 0.18
Financial leverage 3.04 2.98 3.19 3.37 2.75 3.15
Coverage Ratios
Interest coverage 34.54 32.77 28.94 31.14 28.21 30.06
Fixed charge coverage 14.03 12.40 11.48 11.30 10.45 10.59

Based on: 10-K (filing date: 2020-10-07), 10-K (filing date: 2019-10-11), 10-K (filing date: 2018-10-26), 10-K (filing date: 2017-10-18), 10-K (filing date: 2016-10-12), 10-K (filing date: 2015-10-14).

Solvency ratio Description The company
Debt to equity ratio A solvency ratio calculated as total debt divided by total shareholders’ equity. Costco Wholesale Corp.’s debt to equity ratio improved from 2018 to 2019 and from 2019 to 2020.
Debt to equity ratio (including operating lease liability) A solvency ratio calculated as total debt (including operating lease liability) divided by total shareholders’ equity. Costco Wholesale Corp.’s debt to equity ratio (including operating lease liability) improved from 2018 to 2019 but then deteriorated significantly from 2019 to 2020.
Debt to capital ratio A solvency ratio calculated as total debt divided by total debt plus shareholders’ equity. Costco Wholesale Corp.’s debt to capital ratio improved from 2018 to 2019 and from 2019 to 2020.
Debt to capital ratio (including operating lease liability) A solvency ratio calculated as total debt (including operating lease liability) divided by total debt (including operating lease liability) plus shareholders’ equity. Costco Wholesale Corp.’s debt to capital ratio (including operating lease liability) improved from 2018 to 2019 but then deteriorated significantly from 2019 to 2020.
Debt to assets ratio A solvency ratio calculated as total debt divided by total assets. Costco Wholesale Corp.’s debt to assets ratio improved from 2018 to 2019 and from 2019 to 2020.
Debt to assets ratio (including operating lease liability) A solvency ratio calculated as total debt (including operating lease liability) divided by total assets. Costco Wholesale Corp.’s debt to assets ratio (including operating lease liability) improved from 2018 to 2019 but then deteriorated significantly from 2019 to 2020.
Financial leverage ratio A solvency ratio calculated as total assets divided by total shareholders’ equity. Costco Wholesale Corp.’s financial leverage ratio decreased from 2018 to 2019 but then slightly increased from 2019 to 2020.

Solvency ratio Description The company
Interest coverage ratio A solvency ratio calculated as EBIT divided by interest payments. Costco Wholesale Corp.’s interest coverage ratio improved from 2018 to 2019 and from 2019 to 2020.
Fixed charge coverage ratio A solvency ratio calculated as earnings before fixed charges and tax divided by fixed charges. Costco Wholesale Corp.’s fixed charge coverage ratio improved from 2018 to 2019 and from 2019 to 2020.

Debt to Equity

Costco Wholesale Corp., debt to equity calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Aug 30, 2020 Sep 1, 2019 Sep 2, 2018 Sep 3, 2017 Aug 28, 2016 Aug 30, 2015
Selected Financial Data (US$ in millions)
Current portion of long-term debt 95  1,699  90  86  1,100  1,283 
Long-term debt, excluding current portion 7,514  5,124  6,487  6,573  4,061  4,864 
Total debt 7,609  6,823  6,577  6,659  5,161  6,147 
 
Total Costco stockholders’ equity 18,284  15,243  12,799  10,778  12,079  10,617 
Solvency Ratio
Debt to equity1 0.42 0.45 0.51 0.62 0.43 0.58
Benchmarks
Debt to Equity, Competitors2
Amazon.com Inc. 0.83 0.97 1.41 0.92 1.17
Dollar General Corp. 0.43 0.45 0.49 0.59 0.55 0.48
Home Depot Inc. 18.59 5.45 3.37 1.84
Lowe’s Cos. Inc. 9.79 4.45 2.89 2.44 1.65 1.14
Target Corp. 0.97 1.00 0.99 1.16 0.98 0.91
TJX Cos. Inc. 0.38 0.44 0.43 0.49 0.38 0.38
Walmart Inc. 0.73 0.80 0.60 0.59 0.62 0.62
Debt to Equity, Sector
General Retailers 1.02 0.95 1.01 0.84 0.79
Debt to Equity, Industry
Consumer Services 1.24 1.27 1.10 0.99 0.93

Based on: 10-K (filing date: 2020-10-07), 10-K (filing date: 2019-10-11), 10-K (filing date: 2018-10-26), 10-K (filing date: 2017-10-18), 10-K (filing date: 2016-10-12), 10-K (filing date: 2015-10-14).

1 2020 Calculation
Debt to equity = Total debt ÷ Total Costco stockholders’ equity
= 7,609 ÷ 18,284 = 0.42

2 Click competitor name to see calculations.

Solvency ratio Description The company
Debt to equity ratio A solvency ratio calculated as total debt divided by total shareholders’ equity. Costco Wholesale Corp.’s debt to equity ratio improved from 2018 to 2019 and from 2019 to 2020.

Debt to Equity (including Operating Lease Liability)

Costco Wholesale Corp., debt to equity (including operating lease liability) calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Aug 30, 2020 Sep 1, 2019 Sep 2, 2018 Sep 3, 2017 Aug 28, 2016 Aug 30, 2015
Selected Financial Data (US$ in millions)
Current portion of long-term debt 95  1,699  90  86  1,100  1,283 
Long-term debt, excluding current portion 7,514  5,124  6,487  6,573  4,061  4,864 
Total debt 7,609  6,823  6,577  6,659  5,161  6,147 
Current operating lease liabilities (included in other current liabilities in the consolidated balance sheets) 231  —  —  —  —  — 
Long-term operating lease liabilities 2,558  —  —  —  —  — 
Total debt (including operating lease liability) 10,398  6,823  6,577  6,659  5,161  6,147 
 
Total Costco stockholders’ equity 18,284  15,243  12,799  10,778  12,079  10,617 
Solvency Ratio
Debt to equity (including operating lease liability)1 0.57 0.45 0.51 0.62 0.43 0.58
Benchmarks
Debt to Equity (including Operating Lease Liability), Competitors2
Amazon.com Inc. 1.25 0.97 1.41 0.92 1.17
Dollar General Corp. 1.75 0.45 0.49 0.59 0.55 0.48
Home Depot Inc. 18.59 5.45 3.37 1.84
Lowe’s Cos. Inc. 12.04 4.45 2.89 2.44 1.65 1.14
Target Corp. 1.18 1.19 0.99 1.16 0.98 0.91
TJX Cos. Inc. 1.93 0.44 0.43 0.49 0.38 0.38
Walmart Inc. 0.97 0.80 0.60 0.59 0.62 0.62
Debt to Equity (including Operating Lease Liability), Sector
General Retailers 1.18 0.95 1.01 0.84 0.79
Debt to Equity (including Operating Lease Liability), Industry
Consumer Services 1.39 1.27 1.10 0.99 0.93

Based on: 10-K (filing date: 2020-10-07), 10-K (filing date: 2019-10-11), 10-K (filing date: 2018-10-26), 10-K (filing date: 2017-10-18), 10-K (filing date: 2016-10-12), 10-K (filing date: 2015-10-14).

1 2020 Calculation
Debt to equity (including operating lease liability) = Total debt (including operating lease liability) ÷ Total Costco stockholders’ equity
= 10,398 ÷ 18,284 = 0.57

2 Click competitor name to see calculations.

Solvency ratio Description The company
Debt to equity ratio (including operating lease liability) A solvency ratio calculated as total debt (including operating lease liability) divided by total shareholders’ equity. Costco Wholesale Corp.’s debt to equity ratio (including operating lease liability) improved from 2018 to 2019 but then deteriorated significantly from 2019 to 2020.

Debt to Capital

Costco Wholesale Corp., debt to capital calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Aug 30, 2020 Sep 1, 2019 Sep 2, 2018 Sep 3, 2017 Aug 28, 2016 Aug 30, 2015
Selected Financial Data (US$ in millions)
Current portion of long-term debt 95  1,699  90  86  1,100  1,283 
Long-term debt, excluding current portion 7,514  5,124  6,487  6,573  4,061  4,864 
Total debt 7,609  6,823  6,577  6,659  5,161  6,147 
Total Costco stockholders’ equity 18,284  15,243  12,799  10,778  12,079  10,617 
Total capital 25,893  22,066  19,376  17,437  17,240  16,764 
Solvency Ratio
Debt to capital1 0.29 0.31 0.34 0.38 0.30 0.37
Benchmarks
Debt to Capital, Competitors2
Amazon.com Inc. 0.45 0.49 0.59 0.48 0.54
Dollar General Corp. 0.30 0.31 0.33 0.37 0.36 0.32
Home Depot Inc. 1.11 1.07 0.95 0.84 0.77 0.65
Lowe’s Cos. Inc. 0.91 0.82 0.74 0.71 0.62 0.53
Target Corp. 0.49 0.50 0.50 0.54 0.50 0.48
TJX Cos. Inc. 0.27 0.31 0.30 0.33 0.27 0.28
Walmart Inc. 0.42 0.44 0.37 0.37 0.38 0.38
Debt to Capital, Sector
General Retailers 0.51 0.49 0.50 0.46 0.44
Debt to Capital, Industry
Consumer Services 0.55 0.56 0.52 0.50 0.48

Based on: 10-K (filing date: 2020-10-07), 10-K (filing date: 2019-10-11), 10-K (filing date: 2018-10-26), 10-K (filing date: 2017-10-18), 10-K (filing date: 2016-10-12), 10-K (filing date: 2015-10-14).

1 2020 Calculation
Debt to capital = Total debt ÷ Total capital
= 7,609 ÷ 25,893 = 0.29

2 Click competitor name to see calculations.

Solvency ratio Description The company
Debt to capital ratio A solvency ratio calculated as total debt divided by total debt plus shareholders’ equity. Costco Wholesale Corp.’s debt to capital ratio improved from 2018 to 2019 and from 2019 to 2020.

Debt to Capital (including Operating Lease Liability)

Costco Wholesale Corp., debt to capital (including operating lease liability) calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Aug 30, 2020 Sep 1, 2019 Sep 2, 2018 Sep 3, 2017 Aug 28, 2016 Aug 30, 2015
Selected Financial Data (US$ in millions)
Current portion of long-term debt 95  1,699  90  86  1,100  1,283 
Long-term debt, excluding current portion 7,514  5,124  6,487  6,573  4,061  4,864 
Total debt 7,609  6,823  6,577  6,659  5,161  6,147 
Current operating lease liabilities (included in other current liabilities in the consolidated balance sheets) 231  —  —  —  —  — 
Long-term operating lease liabilities 2,558  —  —  —  —  — 
Total debt (including operating lease liability) 10,398  6,823  6,577  6,659  5,161  6,147 
Total Costco stockholders’ equity 18,284  15,243  12,799  10,778  12,079  10,617 
Total capital (including operating lease liability) 28,682  22,066  19,376  17,437  17,240  16,764 
Solvency Ratio
Debt to capital (including operating lease liability)1 0.36 0.31 0.34 0.38 0.30 0.37
Benchmarks
Debt to Capital (including Operating Lease Liability), Competitors2
Amazon.com Inc. 0.56 0.49 0.59 0.48 0.54
Dollar General Corp. 0.64 0.31 0.33 0.37 0.36 0.32
Home Depot Inc. 1.09 1.07 0.95 0.84 0.77 0.65
Lowe’s Cos. Inc. 0.92 0.82 0.74 0.71 0.62 0.53
Target Corp. 0.54 0.54 0.50 0.54 0.50 0.48
TJX Cos. Inc. 0.66 0.31 0.30 0.33 0.27 0.28
Walmart Inc. 0.49 0.44 0.37 0.37 0.38 0.38
Debt to Capital (including Operating Lease Liability), Sector
General Retailers 0.54 0.49 0.50 0.46 0.44
Debt to Capital (including Operating Lease Liability), Industry
Consumer Services 0.58 0.56 0.52 0.50 0.48

Based on: 10-K (filing date: 2020-10-07), 10-K (filing date: 2019-10-11), 10-K (filing date: 2018-10-26), 10-K (filing date: 2017-10-18), 10-K (filing date: 2016-10-12), 10-K (filing date: 2015-10-14).

1 2020 Calculation
Debt to capital (including operating lease liability) = Total debt (including operating lease liability) ÷ Total capital (including operating lease liability)
= 10,398 ÷ 28,682 = 0.36

2 Click competitor name to see calculations.

Solvency ratio Description The company
Debt to capital ratio (including operating lease liability) A solvency ratio calculated as total debt (including operating lease liability) divided by total debt (including operating lease liability) plus shareholders’ equity. Costco Wholesale Corp.’s debt to capital ratio (including operating lease liability) improved from 2018 to 2019 but then deteriorated significantly from 2019 to 2020.

Debt to Assets

Costco Wholesale Corp., debt to assets calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Aug 30, 2020 Sep 1, 2019 Sep 2, 2018 Sep 3, 2017 Aug 28, 2016 Aug 30, 2015
Selected Financial Data (US$ in millions)
Current portion of long-term debt 95  1,699  90  86  1,100  1,283 
Long-term debt, excluding current portion 7,514  5,124  6,487  6,573  4,061  4,864 
Total debt 7,609  6,823  6,577  6,659  5,161  6,147 
 
Total assets 55,556  45,400  40,830  36,347  33,163  33,440 
Solvency Ratio
Debt to assets1 0.14 0.15 0.16 0.18 0.16 0.18
Benchmarks
Debt to Assets, Competitors2
Amazon.com Inc. 0.23 0.26 0.30 0.21 0.24
Dollar General Corp. 0.13 0.22 0.24 0.28 0.26 0.24
Home Depot Inc. 0.61 0.66 0.61 0.55 0.50 0.43
Lowe’s Cos. Inc. 0.49 0.47 0.48 0.46 0.40 0.36
Target Corp. 0.27 0.27 0.30 0.34 0.32 0.31
TJX Cos. Inc. 0.09 0.16 0.16 0.17 0.14 0.15
Walmart Inc. 0.23 0.26 0.23 0.23 0.25 0.25
Debt to Assets, Sector
General Retailers 0.28 0.28 0.29 0.27 0.27
Debt to Assets, Industry
Consumer Services 0.34 0.37 0.34 0.32 0.32

Based on: 10-K (filing date: 2020-10-07), 10-K (filing date: 2019-10-11), 10-K (filing date: 2018-10-26), 10-K (filing date: 2017-10-18), 10-K (filing date: 2016-10-12), 10-K (filing date: 2015-10-14).

1 2020 Calculation
Debt to assets = Total debt ÷ Total assets
= 7,609 ÷ 55,556 = 0.14

2 Click competitor name to see calculations.

Solvency ratio Description The company
Debt to assets ratio A solvency ratio calculated as total debt divided by total assets. Costco Wholesale Corp.’s debt to assets ratio improved from 2018 to 2019 and from 2019 to 2020.

Debt to Assets (including Operating Lease Liability)

Costco Wholesale Corp., debt to assets (including operating lease liability) calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Aug 30, 2020 Sep 1, 2019 Sep 2, 2018 Sep 3, 2017 Aug 28, 2016 Aug 30, 2015
Selected Financial Data (US$ in millions)
Current portion of long-term debt 95  1,699  90  86  1,100  1,283 
Long-term debt, excluding current portion 7,514  5,124  6,487  6,573  4,061  4,864 
Total debt 7,609  6,823  6,577  6,659  5,161  6,147 
Current operating lease liabilities (included in other current liabilities in the consolidated balance sheets) 231  —  —  —  —  — 
Long-term operating lease liabilities 2,558  —  —  —  —  — 
Total debt (including operating lease liability) 10,398  6,823  6,577  6,659  5,161  6,147 
 
Total assets 55,556  45,400  40,830  36,347  33,163  33,440 
Solvency Ratio
Debt to assets (including operating lease liability)1 0.19 0.15 0.16 0.18 0.16 0.18
Benchmarks
Debt to Assets (including Operating Lease Liability), Competitors2
Amazon.com Inc. 0.34 0.26 0.30 0.21 0.24
Dollar General Corp. 0.51 0.22 0.24 0.28 0.26 0.24
Home Depot Inc. 0.73 0.66 0.61 0.55 0.50 0.43
Lowe’s Cos. Inc. 0.60 0.47 0.48 0.46 0.40 0.36
Target Corp. 0.33 0.33 0.30 0.34 0.32 0.31
TJX Cos. Inc. 0.47 0.16 0.16 0.17 0.14 0.15
Walmart Inc. 0.31 0.26 0.23 0.23 0.25 0.25
Debt to Assets (including Operating Lease Liability), Sector
General Retailers 0.32 0.28 0.29 0.27 0.27
Debt to Assets (including Operating Lease Liability), Industry
Consumer Services 0.39 0.37 0.34 0.32 0.32

Based on: 10-K (filing date: 2020-10-07), 10-K (filing date: 2019-10-11), 10-K (filing date: 2018-10-26), 10-K (filing date: 2017-10-18), 10-K (filing date: 2016-10-12), 10-K (filing date: 2015-10-14).

1 2020 Calculation
Debt to assets (including operating lease liability) = Total debt (including operating lease liability) ÷ Total assets
= 10,398 ÷ 55,556 = 0.19

2 Click competitor name to see calculations.

Solvency ratio Description The company
Debt to assets ratio (including operating lease liability) A solvency ratio calculated as total debt (including operating lease liability) divided by total assets. Costco Wholesale Corp.’s debt to assets ratio (including operating lease liability) improved from 2018 to 2019 but then deteriorated significantly from 2019 to 2020.

Financial Leverage

Costco Wholesale Corp., financial leverage calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Aug 30, 2020 Sep 1, 2019 Sep 2, 2018 Sep 3, 2017 Aug 28, 2016 Aug 30, 2015
Selected Financial Data (US$ in millions)
Total assets 55,556  45,400  40,830  36,347  33,163  33,440 
Total Costco stockholders’ equity 18,284  15,243  12,799  10,778  12,079  10,617 
Solvency Ratio
Financial leverage1 3.04 2.98 3.19 3.37 2.75 3.15
Benchmarks
Financial Leverage, Competitors2
Amazon.com Inc. 3.63 3.73 4.74 4.32 4.89
Dollar General Corp. 3.41 2.06 2.04 2.16 2.09 1.97
Home Depot Inc. 30.63 9.92 6.74 4.29
Lowe’s Cos. Inc. 20.02 9.47 6.01 5.35 4.08 3.19
Target Corp. 3.62 3.65 3.33 3.42 3.11 2.96
TJX Cos. Inc. 4.06 2.84 2.73 2.86 2.67 2.61
Walmart Inc. 3.17 3.02 2.63 2.56 2.48 2.50
Financial Leverage, Sector
General Retailers 3.66 3.36 3.42 3.05 2.95
Financial Leverage, Industry
Consumer Services 3.61 3.48 3.19 3.09 2.95

Based on: 10-K (filing date: 2020-10-07), 10-K (filing date: 2019-10-11), 10-K (filing date: 2018-10-26), 10-K (filing date: 2017-10-18), 10-K (filing date: 2016-10-12), 10-K (filing date: 2015-10-14).

1 2020 Calculation
Financial leverage = Total assets ÷ Total Costco stockholders’ equity
= 55,556 ÷ 18,284 = 3.04

2 Click competitor name to see calculations.

Solvency ratio Description The company
Financial leverage ratio A solvency ratio calculated as total assets divided by total shareholders’ equity. Costco Wholesale Corp.’s financial leverage ratio decreased from 2018 to 2019 but then slightly increased from 2019 to 2020.

Interest Coverage

Costco Wholesale Corp., interest coverage calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Aug 30, 2020 Sep 1, 2019 Sep 2, 2018 Sep 3, 2017 Aug 28, 2016 Aug 30, 2015
Selected Financial Data (US$ in millions)
Net income attributable to Costco 4,002  3,659  3,134  2,679  2,350  2,377 
Add: Net income attributable to noncontrolling interest 57  45  45  35  26  32 
Add: Income tax expense 1,308  1,061  1,263  1,325  1,243  1,195 
Add: Interest expense 160  150  159  134  133  124 
Earnings before interest and tax (EBIT) 5,527  4,915  4,601  4,173  3,752  3,728 
Solvency Ratio
Interest coverage1 34.54 32.77 28.94 31.14 28.21 30.06
Benchmarks
Interest Coverage, Competitors2
Amazon.com Inc. 9.73 8.95 5.48 8.84 4.37
Dollar General Corp. 22.89 21.18 20.66 21.09 22.31 20.05
Home Depot Inc. 13.25 14.85 13.96 13.85 12.99 13.02
Lowe’s Cos. Inc. 8.83 6.21 9.46 8.92 8.95 9.19
Target Corp. 9.78 8.97 6.47 4.95 9.11 5.14
TJX Cos. Inc. 75.57 65.36 60.98 61.37 61.70 65.10
Walmart Inc. 8.74 5.88 7.49 9.66 9.49 11.08
Interest Coverage, Sector
General Retailers 10.03 10.23 10.07 11.18 10.79
Interest Coverage, Industry
Consumer Services 6.64 7.01 8.27 8.92 9.86

Based on: 10-K (filing date: 2020-10-07), 10-K (filing date: 2019-10-11), 10-K (filing date: 2018-10-26), 10-K (filing date: 2017-10-18), 10-K (filing date: 2016-10-12), 10-K (filing date: 2015-10-14).

1 2020 Calculation
Interest coverage = EBIT ÷ Interest expense
= 5,527 ÷ 160 = 34.54

2 Click competitor name to see calculations.

Solvency ratio Description The company
Interest coverage ratio A solvency ratio calculated as EBIT divided by interest payments. Costco Wholesale Corp.’s interest coverage ratio improved from 2018 to 2019 and from 2019 to 2020.

Fixed Charge Coverage

Costco Wholesale Corp., fixed charge coverage calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Aug 30, 2020 Sep 1, 2019 Sep 2, 2018 Sep 3, 2017 Aug 28, 2016 Aug 30, 2015
Selected Financial Data (US$ in millions)
Net income attributable to Costco 4,002  3,659  3,134  2,679  2,350  2,377 
Add: Net income attributable to noncontrolling interest 57  45  45  35  26  32 
Add: Income tax expense 1,308  1,061  1,263  1,325  1,243  1,195 
Add: Interest expense 160  150  159  134  133  124 
Earnings before interest and tax (EBIT) 5,527  4,915  4,601  4,173  3,752  3,728 
Add: Operating lease costs 252  268  265  258  250  252 
Earnings before fixed charges and tax 5,779  5,183  4,866  4,431  4,002  3,980 
 
Interest expense 160  150  159  134  133  124 
Operating lease costs 252  268  265  258  250  252 
Fixed charges 412  418  424  392  383  376 
Solvency Ratio
Fixed charge coverage1 14.03 12.40 11.48 11.30 10.45 10.59
Benchmarks
Fixed Charge Coverage, Competitors2
Amazon.com Inc. 3.65 3.34 2.25 3.01 1.99
Dollar General Corp. 2.61 2.60 2.62 2.89 2.96 2.92
Home Depot Inc. 8.26 7.80 7.49 7.39 6.99 6.71
Lowe’s Cos. Inc. 5.04 3.68 5.31 5.31 5.29 5.42
Target Corp. 6.48 6.16 5.10 4.29 7.12 4.39
TJX Cos. Inc. 3.43 3.39 3.35 3.51 3.59 3.61
Walmart Inc. 4.82 3.14 3.89 5.13 5.29 5.71
Fixed Charge Coverage, Sector
General Retailers 4.19 4.38 4.64 5.12 5.01
Fixed Charge Coverage, Industry
Consumer Services 3.88 4.00 4.52 4.78 4.96

Based on: 10-K (filing date: 2020-10-07), 10-K (filing date: 2019-10-11), 10-K (filing date: 2018-10-26), 10-K (filing date: 2017-10-18), 10-K (filing date: 2016-10-12), 10-K (filing date: 2015-10-14).

1 2020 Calculation
Fixed charge coverage = Earnings before fixed charges and tax ÷ Fixed charges
= 5,779 ÷ 412 = 14.03

2 Click competitor name to see calculations.

Solvency ratio Description The company
Fixed charge coverage ratio A solvency ratio calculated as earnings before fixed charges and tax divided by fixed charges. Costco Wholesale Corp.’s fixed charge coverage ratio improved from 2018 to 2019 and from 2019 to 2020.