Analysis of Solvency Ratios
Solvency ratios also known as long-term debt ratios measure a company’s ability to meet long-term obligations.
Solvency Ratios (Summary)
Micron Technology Inc., solvency ratios
Based on: 10-K (filing date: 2020-10-19), 10-K (filing date: 2019-10-17), 10-K (filing date: 2018-10-15), 10-K (filing date: 2017-10-26), 10-K (filing date: 2016-10-28), 10-K (filing date: 2015-10-27).
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to equity ratio | A solvency ratio calculated as total debt divided by total shareholders’ equity. | Micron Technology Inc.’s debt to equity ratio deteriorated 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. | Micron Technology Inc.’s debt to equity ratio (including operating lease liability) deteriorated from 2018 to 2019 and from 2019 to 2020. |
| Debt to capital ratio | A solvency ratio calculated as total debt divided by total debt plus shareholders’ equity. | Micron Technology Inc.’s debt to capital ratio deteriorated 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. | Micron Technology Inc.’s debt to capital ratio (including operating lease liability) deteriorated from 2018 to 2019 and from 2019 to 2020. |
| Debt to assets ratio | A solvency ratio calculated as total debt divided by total assets. | Micron Technology Inc.’s debt to assets ratio deteriorated 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. | Micron Technology Inc.’s debt to assets ratio (including operating lease liability) deteriorated from 2018 to 2019 and from 2019 to 2020. |
| Financial leverage ratio | A solvency ratio calculated as total assets divided by total shareholders’ equity. | Micron Technology Inc.’s financial leverage ratio increased from 2018 to 2019 and from 2019 to 2020. |
| Solvency ratio | Description | The company |
|---|---|---|
| Interest coverage ratio | A solvency ratio calculated as EBIT divided by interest payments. | Micron Technology Inc.’s interest coverage ratio improved from 2018 to 2019 but then deteriorated significantly from 2019 to 2020. |
| Fixed charge coverage ratio | A solvency ratio calculated as earnings before fixed charges and tax divided by fixed charges. | Micron Technology Inc.’s fixed charge coverage ratio deteriorated from 2018 to 2019 and from 2019 to 2020. |
Debt to Equity
Micron Technology Inc., debt to equity calculation, comparison to benchmarks
| Sep 3, 2020 | Aug 29, 2019 | Aug 30, 2018 | Aug 31, 2017 | Sep 1, 2016 | Sep 3, 2015 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Current debt | 270 | 1,310 | 859 | 1,262 | 756 | 1,089 | |
| Long-term debt | 6,373 | 4,541 | 3,777 | 9,872 | 9,154 | 6,252 | |
| Total debt | 6,643 | 5,851 | 4,636 | 11,134 | 9,910 | 7,341 | |
| Total Micron shareholders’ equity | 38,996 | 35,881 | 32,294 | 18,621 | 12,080 | 12,302 | |
| Solvency Ratio | |||||||
| Debt to equity1 | 0.17 | 0.16 | 0.14 | 0.60 | 0.82 | 0.60 | |
| Benchmarks | |||||||
| Debt to Equity, Competitors2 | |||||||
| Advanced Micro Devices Inc. | — | 0.17 | 0.99 | 2.28 | 3.45 | — | |
| Analog Devices Inc. | — | 0.47 | 0.58 | 0.77 | 0.34 | 0.17 | |
| Apple Inc. | — | 1.19 | 1.07 | 0.86 | 0.68 | 0.54 | |
| Applied Materials Inc. | — | 0.65 | 0.78 | 0.57 | 0.46 | 0.60 | |
| Broadcom Inc. | — | 1.32 | 0.66 | 0.87 | 0.72 | 0.84 | |
| Cisco Systems Inc. | 0.38 | 0.73 | 0.59 | 0.51 | 0.45 | 0.42 | |
| Intel Corp. | — | 0.37 | 0.35 | 0.39 | 0.38 | 0.37 | |
| Lam Research Corp. | 1.12 | 0.96 | 0.37 | 0.40 | 0.74 | 0.46 | |
| NVIDIA Corp. | 0.16 | 0.21 | 0.27 | 0.48 | 0.32 | 0.32 | |
| Qualcomm Inc. | — | 3.25 | 17.64 | 0.71 | 0.37 | 0.35 | |
| Texas Instruments Inc. | — | 0.65 | 0.56 | 0.39 | 0.34 | 0.41 | |
| Debt to Equity, Sector | |||||||
| Technology Hardware & Equipment | — | 0.77 | 0.70 | 0.66 | 0.54 | 0.47 | |
| Debt to Equity, Industry | |||||||
| Technology | — | 0.56 | 0.56 | 0.59 | 0.48 | 0.43 | |
Based on: 10-K (filing date: 2020-10-19), 10-K (filing date: 2019-10-17), 10-K (filing date: 2018-10-15), 10-K (filing date: 2017-10-26), 10-K (filing date: 2016-10-28), 10-K (filing date: 2015-10-27).
1 2020 Calculation
Debt to equity = Total debt ÷ Total Micron shareholders’ equity
= 6,643 ÷ 38,996 = 0.17
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. | Micron Technology Inc.’s debt to equity ratio deteriorated from 2018 to 2019 and from 2019 to 2020. |
Debt to Equity (including Operating Lease Liability)
Micron Technology Inc., debt to equity (including operating lease liability) calculation, comparison to benchmarks
| Sep 3, 2020 | Aug 29, 2019 | Aug 30, 2018 | Aug 31, 2017 | Sep 1, 2016 | Sep 3, 2015 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Current debt | 270 | 1,310 | 859 | 1,262 | 756 | 1,089 | |
| Long-term debt | 6,373 | 4,541 | 3,777 | 9,872 | 9,154 | 6,252 | |
| Total debt | 6,643 | 5,851 | 4,636 | 11,134 | 9,910 | 7,341 | |
| Current operating lease liabilities | 54 | — | — | — | — | — | |
| Noncurrent operating lease liabilities | 533 | — | — | — | — | — | |
| Total debt (including operating lease liability) | 7,230 | 5,851 | 4,636 | 11,134 | 9,910 | 7,341 | |
| Total Micron shareholders’ equity | 38,996 | 35,881 | 32,294 | 18,621 | 12,080 | 12,302 | |
| Solvency Ratio | |||||||
| Debt to equity (including operating lease liability)1 | 0.19 | 0.16 | 0.14 | 0.60 | 0.82 | 0.60 | |
| Benchmarks | |||||||
| Debt to Equity (including Operating Lease Liability), Competitors2 | |||||||
| Advanced Micro Devices Inc. | — | 0.26 | 0.99 | 2.28 | 3.45 | — | |
| Cisco Systems Inc. | 0.41 | 0.73 | 0.59 | 0.51 | 0.45 | 0.42 | |
| Intel Corp. | — | 0.38 | 0.35 | 0.39 | 0.38 | 0.37 | |
| Lam Research Corp. | 1.16 | 0.96 | 0.37 | 0.40 | 0.74 | 0.46 | |
| NVIDIA Corp. | 0.22 | 0.21 | 0.27 | 0.48 | 0.32 | 0.32 | |
| Texas Instruments Inc. | — | 0.69 | 0.56 | 0.39 | 0.34 | 0.41 | |
| Debt to Equity (including Operating Lease Liability), Sector | |||||||
| Technology Hardware & Equipment | — | 0.77 | 0.70 | 0.66 | 0.54 | 0.47 | |
| Debt to Equity (including Operating Lease Liability), Industry | |||||||
| Technology | — | 0.61 | 0.57 | 0.59 | 0.48 | 0.43 | |
Based on: 10-K (filing date: 2020-10-19), 10-K (filing date: 2019-10-17), 10-K (filing date: 2018-10-15), 10-K (filing date: 2017-10-26), 10-K (filing date: 2016-10-28), 10-K (filing date: 2015-10-27).
1 2020 Calculation
Debt to equity (including operating lease liability) = Total debt (including operating lease liability) ÷ Total Micron shareholders’ equity
= 7,230 ÷ 38,996 = 0.19
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. | Micron Technology Inc.’s debt to equity ratio (including operating lease liability) deteriorated from 2018 to 2019 and from 2019 to 2020. |
Debt to Capital
Micron Technology Inc., debt to capital calculation, comparison to benchmarks
| Sep 3, 2020 | Aug 29, 2019 | Aug 30, 2018 | Aug 31, 2017 | Sep 1, 2016 | Sep 3, 2015 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Current debt | 270 | 1,310 | 859 | 1,262 | 756 | 1,089 | |
| Long-term debt | 6,373 | 4,541 | 3,777 | 9,872 | 9,154 | 6,252 | |
| Total debt | 6,643 | 5,851 | 4,636 | 11,134 | 9,910 | 7,341 | |
| Total Micron shareholders’ equity | 38,996 | 35,881 | 32,294 | 18,621 | 12,080 | 12,302 | |
| Total capital | 45,639 | 41,732 | 36,930 | 29,755 | 21,990 | 19,643 | |
| Solvency Ratio | |||||||
| Debt to capital1 | 0.15 | 0.14 | 0.13 | 0.37 | 0.45 | 0.37 | |
| Benchmarks | |||||||
| Debt to Capital, Competitors2 | |||||||
| Advanced Micro Devices Inc. | — | 0.15 | 0.50 | 0.70 | 0.78 | 1.22 | |
| Analog Devices Inc. | — | 0.32 | 0.37 | 0.44 | 0.25 | 0.15 | |
| Apple Inc. | — | 0.54 | 0.52 | 0.46 | 0.40 | 0.35 | |
| Applied Materials Inc. | — | 0.39 | 0.44 | 0.36 | 0.32 | 0.37 | |
| Broadcom Inc. | — | 0.57 | 0.40 | 0.46 | 0.42 | 0.46 | |
| Cisco Systems Inc. | 0.28 | 0.42 | 0.37 | 0.34 | 0.31 | 0.30 | |
| Intel Corp. | — | 0.27 | 0.26 | 0.28 | 0.28 | 0.27 | |
| Lam Research Corp. | 0.53 | 0.49 | 0.27 | 0.28 | 0.42 | 0.32 | |
| NVIDIA Corp. | 0.14 | 0.18 | 0.21 | 0.33 | 0.24 | 0.24 | |
| Qualcomm Inc. | — | 0.76 | 0.95 | 0.42 | 0.27 | 0.26 | |
| Texas Instruments Inc. | — | 0.39 | 0.36 | 0.28 | 0.26 | 0.29 | |
| Debt to Capital, Sector | |||||||
| Technology Hardware & Equipment | — | 0.43 | 0.41 | 0.40 | 0.35 | 0.32 | |
| Debt to Capital, Industry | |||||||
| Technology | — | 0.36 | 0.36 | 0.37 | 0.33 | 0.30 | |
Based on: 10-K (filing date: 2020-10-19), 10-K (filing date: 2019-10-17), 10-K (filing date: 2018-10-15), 10-K (filing date: 2017-10-26), 10-K (filing date: 2016-10-28), 10-K (filing date: 2015-10-27).
1 2020 Calculation
Debt to capital = Total debt ÷ Total capital
= 6,643 ÷ 45,639 = 0.15
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. | Micron Technology Inc.’s debt to capital ratio deteriorated from 2018 to 2019 and from 2019 to 2020. |
Debt to Capital (including Operating Lease Liability)
Micron Technology Inc., debt to capital (including operating lease liability) calculation, comparison to benchmarks
| Sep 3, 2020 | Aug 29, 2019 | Aug 30, 2018 | Aug 31, 2017 | Sep 1, 2016 | Sep 3, 2015 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Current debt | 270 | 1,310 | 859 | 1,262 | 756 | 1,089 | |
| Long-term debt | 6,373 | 4,541 | 3,777 | 9,872 | 9,154 | 6,252 | |
| Total debt | 6,643 | 5,851 | 4,636 | 11,134 | 9,910 | 7,341 | |
| Current operating lease liabilities | 54 | — | — | — | — | — | |
| Noncurrent operating lease liabilities | 533 | — | — | — | — | — | |
| Total debt (including operating lease liability) | 7,230 | 5,851 | 4,636 | 11,134 | 9,910 | 7,341 | |
| Total Micron shareholders’ equity | 38,996 | 35,881 | 32,294 | 18,621 | 12,080 | 12,302 | |
| Total capital (including operating lease liability) | 46,226 | 41,732 | 36,930 | 29,755 | 21,990 | 19,643 | |
| Solvency Ratio | |||||||
| Debt to capital (including operating lease liability)1 | 0.16 | 0.14 | 0.13 | 0.37 | 0.45 | 0.37 | |
| Benchmarks | |||||||
| Debt to Capital (including Operating Lease Liability), Competitors2 | |||||||
| Advanced Micro Devices Inc. | — | 0.20 | 0.50 | 0.70 | 0.78 | 1.22 | |
| Cisco Systems Inc. | 0.29 | 0.42 | 0.37 | 0.34 | 0.31 | 0.30 | |
| Intel Corp. | — | 0.28 | 0.26 | 0.28 | 0.28 | 0.27 | |
| Lam Research Corp. | 0.54 | 0.49 | 0.27 | 0.28 | 0.42 | 0.32 | |
| NVIDIA Corp. | 0.18 | 0.18 | 0.21 | 0.33 | 0.24 | 0.24 | |
| Texas Instruments Inc. | — | 0.41 | 0.36 | 0.28 | 0.26 | 0.29 | |
| Debt to Capital (including Operating Lease Liability), Sector | |||||||
| Technology Hardware & Equipment | — | 0.44 | 0.41 | 0.40 | 0.35 | 0.32 | |
| Debt to Capital (including Operating Lease Liability), Industry | |||||||
| Technology | — | 0.38 | 0.36 | 0.37 | 0.33 | 0.30 | |
Based on: 10-K (filing date: 2020-10-19), 10-K (filing date: 2019-10-17), 10-K (filing date: 2018-10-15), 10-K (filing date: 2017-10-26), 10-K (filing date: 2016-10-28), 10-K (filing date: 2015-10-27).
1 2020 Calculation
Debt to capital (including operating lease liability) = Total debt (including operating lease liability) ÷ Total capital (including operating lease liability)
= 7,230 ÷ 46,226 = 0.16
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. | Micron Technology Inc.’s debt to capital ratio (including operating lease liability) deteriorated from 2018 to 2019 and from 2019 to 2020. |
Debt to Assets
Micron Technology Inc., debt to assets calculation, comparison to benchmarks
| Sep 3, 2020 | Aug 29, 2019 | Aug 30, 2018 | Aug 31, 2017 | Sep 1, 2016 | Sep 3, 2015 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Current debt | 270 | 1,310 | 859 | 1,262 | 756 | 1,089 | |
| Long-term debt | 6,373 | 4,541 | 3,777 | 9,872 | 9,154 | 6,252 | |
| Total debt | 6,643 | 5,851 | 4,636 | 11,134 | 9,910 | 7,341 | |
| Total assets | 53,678 | 48,887 | 43,376 | 35,336 | 27,540 | 24,143 | |
| Solvency Ratio | |||||||
| Debt to assets1 | 0.12 | 0.12 | 0.11 | 0.32 | 0.36 | 0.30 | |
| Benchmarks | |||||||
| Debt to Assets, Competitors2 | |||||||
| Advanced Micro Devices Inc. | — | 0.08 | 0.27 | 0.39 | 0.43 | 0.73 | |
| Analog Devices Inc. | — | 0.26 | 0.31 | 0.37 | 0.22 | 0.12 | |
| Apple Inc. | — | 0.32 | 0.31 | 0.31 | 0.27 | 0.22 | |
| Applied Materials Inc. | — | 0.28 | 0.30 | 0.27 | 0.23 | 0.30 | |
| Broadcom Inc. | — | 0.49 | 0.35 | 0.32 | 0.27 | 0.37 | |
| Cisco Systems Inc. | 0.15 | 0.25 | 0.24 | 0.26 | 0.24 | 0.22 | |
| Intel Corp. | — | 0.21 | 0.21 | 0.22 | 0.22 | 0.22 | |
| Lam Research Corp. | 0.40 | 0.37 | 0.19 | 0.22 | 0.35 | 0.25 | |
| NVIDIA Corp. | 0.11 | 0.15 | 0.18 | 0.28 | 0.19 | 0.19 | |
| Qualcomm Inc. | — | 0.48 | 0.50 | 0.33 | 0.22 | 0.22 | |
| Texas Instruments Inc. | — | 0.32 | 0.30 | 0.23 | 0.22 | 0.25 | |
| Debt to Assets, Sector | |||||||
| Technology Hardware & Equipment | — | 0.30 | 0.28 | 0.29 | 0.26 | 0.23 | |
| Debt to Assets, Industry | |||||||
| Technology | — | 0.24 | 0.25 | 0.27 | 0.24 | 0.22 | |
Based on: 10-K (filing date: 2020-10-19), 10-K (filing date: 2019-10-17), 10-K (filing date: 2018-10-15), 10-K (filing date: 2017-10-26), 10-K (filing date: 2016-10-28), 10-K (filing date: 2015-10-27).
1 2020 Calculation
Debt to assets = Total debt ÷ Total assets
= 6,643 ÷ 53,678 = 0.12
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. | Micron Technology Inc.’s debt to assets ratio deteriorated from 2018 to 2019 and from 2019 to 2020. |
Debt to Assets (including Operating Lease Liability)
Micron Technology Inc., debt to assets (including operating lease liability) calculation, comparison to benchmarks
| Sep 3, 2020 | Aug 29, 2019 | Aug 30, 2018 | Aug 31, 2017 | Sep 1, 2016 | Sep 3, 2015 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Current debt | 270 | 1,310 | 859 | 1,262 | 756 | 1,089 | |
| Long-term debt | 6,373 | 4,541 | 3,777 | 9,872 | 9,154 | 6,252 | |
| Total debt | 6,643 | 5,851 | 4,636 | 11,134 | 9,910 | 7,341 | |
| Current operating lease liabilities | 54 | — | — | — | — | — | |
| Noncurrent operating lease liabilities | 533 | — | — | — | — | — | |
| Total debt (including operating lease liability) | 7,230 | 5,851 | 4,636 | 11,134 | 9,910 | 7,341 | |
| Total assets | 53,678 | 48,887 | 43,376 | 35,336 | 27,540 | 24,143 | |
| Solvency Ratio | |||||||
| Debt to assets (including operating lease liability)1 | 0.13 | 0.12 | 0.11 | 0.32 | 0.36 | 0.30 | |
| Benchmarks | |||||||
| Debt to Assets (including Operating Lease Liability), Competitors2 | |||||||
| Advanced Micro Devices Inc. | — | 0.12 | 0.27 | 0.39 | 0.43 | 0.73 | |
| Cisco Systems Inc. | 0.16 | 0.25 | 0.24 | 0.26 | 0.24 | 0.22 | |
| Intel Corp. | — | 0.22 | 0.21 | 0.22 | 0.22 | 0.22 | |
| Lam Research Corp. | 0.41 | 0.37 | 0.19 | 0.22 | 0.35 | 0.25 | |
| NVIDIA Corp. | 0.15 | 0.15 | 0.18 | 0.28 | 0.19 | 0.19 | |
| Texas Instruments Inc. | — | 0.34 | 0.30 | 0.23 | 0.22 | 0.25 | |
| Debt to Assets (including Operating Lease Liability), Sector | |||||||
| Technology Hardware & Equipment | — | 0.30 | 0.28 | 0.29 | 0.26 | 0.23 | |
| Debt to Assets (including Operating Lease Liability), Industry | |||||||
| Technology | — | 0.26 | 0.25 | 0.27 | 0.24 | 0.22 | |
Based on: 10-K (filing date: 2020-10-19), 10-K (filing date: 2019-10-17), 10-K (filing date: 2018-10-15), 10-K (filing date: 2017-10-26), 10-K (filing date: 2016-10-28), 10-K (filing date: 2015-10-27).
1 2020 Calculation
Debt to assets (including operating lease liability) = Total debt (including operating lease liability) ÷ Total assets
= 7,230 ÷ 53,678 = 0.13
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. | Micron Technology Inc.’s debt to assets ratio (including operating lease liability) deteriorated from 2018 to 2019 and from 2019 to 2020. |
Financial Leverage
Micron Technology Inc., financial leverage calculation, comparison to benchmarks
| Sep 3, 2020 | Aug 29, 2019 | Aug 30, 2018 | Aug 31, 2017 | Sep 1, 2016 | Sep 3, 2015 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Total assets | 53,678 | 48,887 | 43,376 | 35,336 | 27,540 | 24,143 | |
| Total Micron shareholders’ equity | 38,996 | 35,881 | 32,294 | 18,621 | 12,080 | 12,302 | |
| Solvency Ratio | |||||||
| Financial leverage1 | 1.38 | 1.36 | 1.34 | 1.90 | 2.28 | 1.96 | |
| Benchmarks | |||||||
| Financial Leverage, Competitors2 | |||||||
| Advanced Micro Devices Inc. | — | 2.13 | 3.60 | 5.79 | 7.98 | — | |
| Analog Devices Inc. | — | 1.83 | 1.86 | 2.08 | 1.54 | 1.39 | |
| Apple Inc. | — | 3.74 | 3.41 | 2.80 | 2.51 | 2.43 | |
| Applied Materials Inc. | — | 2.32 | 2.60 | 2.08 | 2.02 | 2.01 | |
| Broadcom Inc. | — | 2.71 | 1.88 | 2.68 | 2.64 | 2.25 | |
| Cisco Systems Inc. | 2.50 | 2.91 | 2.52 | 1.96 | 1.91 | 1.90 | |
| Intel Corp. | — | 1.76 | 1.72 | 1.79 | 1.71 | 1.69 | |
| Lam Research Corp. | 2.81 | 2.57 | 1.92 | 1.78 | 2.08 | 1.84 | |
| NVIDIA Corp. | 1.42 | 1.42 | 1.50 | 1.71 | 1.65 | 1.63 | |
| Qualcomm Inc. | — | 6.71 | 35.22 | 2.13 | 1.65 | 1.62 | |
| Texas Instruments Inc. | — | 2.02 | 1.91 | 1.71 | 1.57 | 1.63 | |
| Financial Leverage, Sector | |||||||
| Technology Hardware & Equipment | — | 2.59 | 2.49 | 2.27 | 2.11 | 2.03 | |
| Financial Leverage, Industry | |||||||
| Technology | — | 2.32 | 2.27 | 2.20 | 2.04 | 1.99 | |
Based on: 10-K (filing date: 2020-10-19), 10-K (filing date: 2019-10-17), 10-K (filing date: 2018-10-15), 10-K (filing date: 2017-10-26), 10-K (filing date: 2016-10-28), 10-K (filing date: 2015-10-27).
1 2020 Calculation
Financial leverage = Total assets ÷ Total Micron shareholders’ equity
= 53,678 ÷ 38,996 = 1.38
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. | Micron Technology Inc.’s financial leverage ratio increased from 2018 to 2019 and from 2019 to 2020. |
Interest Coverage
Micron Technology Inc., interest coverage calculation, comparison to benchmarks
| Sep 3, 2020 | Aug 29, 2019 | Aug 30, 2018 | Aug 31, 2017 | Sep 1, 2016 | Sep 3, 2015 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Net income (loss) attributable to Micron | 2,687 | 6,313 | 14,135 | 5,089 | (276) | 2,899 | |
| Add: Net income attributable to noncontrolling interest | 23 | 45 | 3 | 1 | 1 | — | |
| Add: Income tax expense | 280 | 693 | 168 | 114 | 19 | 157 | |
| Add: Interest expense | 194 | 128 | 342 | 601 | 437 | 371 | |
| Earnings before interest and tax (EBIT) | 3,184 | 7,179 | 14,648 | 5,805 | 181 | 3,427 | |
| Solvency Ratio | |||||||
| Interest coverage1 | 16.41 | 56.09 | 42.83 | 9.66 | 0.41 | 9.24 | |
| Benchmarks | |||||||
| Interest Coverage, Competitors2 | |||||||
| Advanced Micro Devices Inc. | — | 4.96 | 3.71 | 1.49 | -1.94 | -3.04 | |
| Analog Devices Inc. | — | 7.49 | 7.46 | 4.30 | 11.78 | 30.97 | |
| Apple Inc. | — | 19.38 | 23.50 | 28.59 | 43.15 | 99.93 | |
| Applied Materials Inc. | — | 14.79 | 21.06 | 19.84 | 13.99 | 16.51 | |
| Broadcom Inc. | — | 2.54 | 8.24 | 5.02 | -0.89 | 8.68 | |
| Cisco Systems Inc. | 24.88 | 17.96 | 14.83 | 15.27 | 20.11 | 20.79 | |
| Intel Corp. | — | 50.20 | 50.82 | 32.50 | 18.65 | 43.17 | |
| Lam Research Corp. | 15.51 | 21.86 | 33.36 | 16.39 | 8.12 | 11.05 | |
| NVIDIA Corp. | 58.12 | 68.17 | 53.39 | 33.84 | 16.81 | 17.36 | |
| Qualcomm Inc. | — | 12.93 | 1.67 | 7.11 | 24.01 | 63.38 | |
| Texas Instruments Inc. | — | 34.69 | 54.49 | 78.95 | 62.63 | 47.84 | |
| Interest Coverage, Sector | |||||||
| Technology Hardware & Equipment | — | 18.23 | 21.37 | 20.52 | 22.02 | 42.55 | |
| Interest Coverage, Industry | |||||||
| Technology | — | 19.75 | 21.76 | 20.41 | 22.53 | 35.53 | |
Based on: 10-K (filing date: 2020-10-19), 10-K (filing date: 2019-10-17), 10-K (filing date: 2018-10-15), 10-K (filing date: 2017-10-26), 10-K (filing date: 2016-10-28), 10-K (filing date: 2015-10-27).
1 2020 Calculation
Interest coverage = EBIT ÷ Interest expense
= 3,184 ÷ 194 = 16.41
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. | Micron Technology Inc.’s interest coverage ratio improved from 2018 to 2019 but then deteriorated significantly from 2019 to 2020. |
Fixed Charge Coverage
Micron Technology Inc., fixed charge coverage calculation, comparison to benchmarks
| Sep 3, 2020 | Aug 29, 2019 | Aug 30, 2018 | Aug 31, 2017 | Sep 1, 2016 | Sep 3, 2015 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Net income (loss) attributable to Micron | 2,687 | 6,313 | 14,135 | 5,089 | (276) | 2,899 | |
| Add: Net income attributable to noncontrolling interest | 23 | 45 | 3 | 1 | 1 | — | |
| Add: Income tax expense | 280 | 693 | 168 | 114 | 19 | 157 | |
| Add: Interest expense | 194 | 128 | 342 | 601 | 437 | 371 | |
| Earnings before interest and tax (EBIT) | 3,184 | 7,179 | 14,648 | 5,805 | 181 | 3,427 | |
| Add: Operating lease cost | 102 | 93 | 63 | 52 | 46 | 48 | |
| Earnings before fixed charges and tax | 3,286 | 7,272 | 14,711 | 5,857 | 227 | 3,475 | |
| Interest expense | 194 | 128 | 342 | 601 | 437 | 371 | |
| Operating lease cost | 102 | 93 | 63 | 52 | 46 | 48 | |
| Fixed charges | 296 | 221 | 405 | 653 | 483 | 419 | |
| Solvency Ratio | |||||||
| Fixed charge coverage1 | 11.10 | 32.90 | 36.32 | 8.97 | 0.47 | 8.29 | |
| Benchmarks | |||||||
| Fixed Charge Coverage, Competitors2 | |||||||
| Advanced Micro Devices Inc. | — | 3.48 | 2.89 | 1.36 | -1.35 | -2.12 | |
| Analog Devices Inc. | — | 5.62 | 5.84 | 3.68 | 7.50 | 11.28 | |
| Apple Inc. | — | 14.48 | 17.42 | 19.72 | 26.63 | 48.49 | |
| Applied Materials Inc. | — | 12.35 | 17.53 | 17.08 | 11.43 | 12.84 | |
| Broadcom Inc. | — | 2.27 | 6.28 | 3.58 | -0.36 | 6.47 | |
| Cisco Systems Inc. | 14.79 | 12.28 | 10.41 | 10.72 | 13.18 | 12.67 | |
| Intel Corp. | — | 36.69 | 34.36 | 23.36 | 13.74 | 25.09 | |
| Lam Research Corp. | 12.52 | 17.83 | 27.07 | 14.13 | 7.36 | 9.35 | |
| NVIDIA Corp. | 18.89 | 29.23 | 28.79 | 19.32 | 9.08 | 9.08 | |
| Qualcomm Inc. | — | 10.68 | 1.55 | 5.85 | 17.54 | 32.96 | |
| Texas Instruments Inc. | — | 21.68 | 33.77 | 39.24 | 30.70 | 23.43 | |
| Fixed Charge Coverage, Sector | |||||||
| Technology Hardware & Equipment | — | 13.71 | 15.90 | 14.94 | 15.29 | 25.47 | |
| Fixed Charge Coverage, Industry | |||||||
| Technology | — | 11.68 | 13.28 | 12.39 | 13.10 | 16.53 | |
Based on: 10-K (filing date: 2020-10-19), 10-K (filing date: 2019-10-17), 10-K (filing date: 2018-10-15), 10-K (filing date: 2017-10-26), 10-K (filing date: 2016-10-28), 10-K (filing date: 2015-10-27).
1 2020 Calculation
Fixed charge coverage = Earnings before fixed charges and tax ÷ Fixed charges
= 3,286 ÷ 296 = 11.10
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. | Micron Technology Inc.’s fixed charge coverage ratio deteriorated from 2018 to 2019 and from 2019 to 2020. |