Solvency ratios also known as long-term debt ratios measure a company’s ability to meet long-term obligations.

Solvency Ratios (Summary)
Debt to Equity
Debt to Capital
Debt to Assets
Financial Leverage
Interest Coverage
Fixed Charge Coverage

Becton, Dickinson & Co., solvency ratios

		Sep 30, 2019	Sep 30, 2018	Sep 30, 2017	Sep 30, 2016	Sep 30, 2015	Sep 30, 2014
	Debt Ratios
	Debt to equity
	Debt to capital
	Debt to assets
	Financial leverage
	Coverage Ratios
	Interest coverage
	Fixed charge coverage

Based on: 10-K (filing date: 2019-11-27), 10-K (filing date: 2018-11-21), 10-K (filing date: 2017-11-22), 10-K (filing date: 2016-11-23), 10-K (filing date: 2015-11-25), 10-K (filing date: 2014-11-26).

Solvency ratio	Description	The company
Debt to equity ratio	A solvency ratio calculated as total debt divided by total shareholders’ equity.	Becton, Dickinson & Co.’s debt to equity ratio improved from 2017 to 2018 and from 2018 to 2019.
Debt to capital ratio	A solvency ratio calculated as total debt divided by total debt plus shareholders’ equity.	Becton, Dickinson & Co.’s debt to capital ratio improved from 2017 to 2018 and from 2018 to 2019.
Debt to assets ratio	A solvency ratio calculated as total debt divided by total assets.	Becton, Dickinson & Co.’s debt to assets ratio improved from 2017 to 2018 and from 2018 to 2019.
Financial leverage ratio	A solvency ratio calculated as total assets divided by total shareholders’ equity.	Becton, Dickinson & Co.’s financial leverage ratio decreased from 2017 to 2018 and from 2018 to 2019.

Solvency ratio	Description	The company
Interest coverage ratio	A solvency ratio calculated as EBIT divided by interest payments.	Becton, Dickinson & Co.’s interest coverage ratio deteriorated from 2017 to 2018 but then improved from 2018 to 2019 not reaching 2017 level.
Fixed charge coverage ratio	A solvency ratio calculated as earnings before fixed charges and tax divided by fixed charges.	Becton, Dickinson & Co.’s fixed charge coverage ratio deteriorated from 2017 to 2018 but then slightly improved from 2018 to 2019.

Becton, Dickinson & Co., debt to equity calculation, comparison to benchmarks

		Sep 30, 2019	Sep 30, 2018	Sep 30, 2017	Sep 30, 2016	Sep 30, 2015	Sep 30, 2014
	Selected Financial Data (US$ in millions)
	Short-term debt
	Long-term debt, excluding current portion
	Total debt

	Shareholders’ equity
	Solvency Ratio
	Debt to equity¹
	Benchmarks
	Debt to Equity, Competitors²
	Boston Scientific Corp.
	Danaher Corp.
	Intuitive Surgical Inc.
	Medtronic PLC
	Stryker Corp.
	Thermo Fisher Scientific Inc.
	UnitedHealth Group Inc.
	Debt to Equity, Sector
	Health Care Equipment & Services
	Debt to Equity, Industry
	Health Care

Based on: 10-K (filing date: 2019-11-27), 10-K (filing date: 2018-11-21), 10-K (filing date: 2017-11-22), 10-K (filing date: 2016-11-23), 10-K (filing date: 2015-11-25), 10-K (filing date: 2014-11-26).

¹ 2019 Calculation
Debt to equity = Total debt ÷ Shareholders’ equity
= ÷ =

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.	Becton, Dickinson & Co.’s debt to equity ratio improved from 2017 to 2018 and from 2018 to 2019.

Becton, Dickinson & Co., debt to capital calculation, comparison to benchmarks

		Sep 30, 2019	Sep 30, 2018	Sep 30, 2017	Sep 30, 2016	Sep 30, 2015	Sep 30, 2014
	Selected Financial Data (US$ in millions)
	Short-term debt
	Long-term debt, excluding current portion
	Total debt
	Shareholders’ equity
	Total capital
	Solvency Ratio
	Debt to capital¹
	Benchmarks
	Debt to Capital, Competitors²
	Boston Scientific Corp.
	Danaher Corp.
	Intuitive Surgical Inc.
	Medtronic PLC
	Stryker Corp.
	Thermo Fisher Scientific Inc.
	UnitedHealth Group Inc.
	Debt to Capital, Sector
	Health Care Equipment & Services
	Debt to Capital, Industry
	Health Care

Based on: 10-K (filing date: 2019-11-27), 10-K (filing date: 2018-11-21), 10-K (filing date: 2017-11-22), 10-K (filing date: 2016-11-23), 10-K (filing date: 2015-11-25), 10-K (filing date: 2014-11-26).

¹ 2019 Calculation
Debt to capital = Total debt ÷ Total capital
= ÷ =

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.	Becton, Dickinson & Co.’s debt to capital ratio improved from 2017 to 2018 and from 2018 to 2019.

Becton, Dickinson & Co., debt to assets calculation, comparison to benchmarks

		Sep 30, 2019	Sep 30, 2018	Sep 30, 2017	Sep 30, 2016	Sep 30, 2015	Sep 30, 2014
	Selected Financial Data (US$ in millions)
	Short-term debt
	Long-term debt, excluding current portion
	Total debt

	Total assets
	Solvency Ratio
	Debt to assets¹
	Benchmarks
	Debt to Assets, Competitors²
	Boston Scientific Corp.
	Danaher Corp.
	Intuitive Surgical Inc.
	Medtronic PLC
	Stryker Corp.
	Thermo Fisher Scientific Inc.
	UnitedHealth Group Inc.
	Debt to Assets, Sector
	Health Care Equipment & Services
	Debt to Assets, Industry
	Health Care

Based on: 10-K (filing date: 2019-11-27), 10-K (filing date: 2018-11-21), 10-K (filing date: 2017-11-22), 10-K (filing date: 2016-11-23), 10-K (filing date: 2015-11-25), 10-K (filing date: 2014-11-26).

¹ 2019 Calculation
Debt to assets = Total debt ÷ Total assets
= ÷ =

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.	Becton, Dickinson & Co.’s debt to assets ratio improved from 2017 to 2018 and from 2018 to 2019.

Becton, Dickinson & Co., financial leverage calculation, comparison to benchmarks

		Sep 30, 2019	Sep 30, 2018	Sep 30, 2017	Sep 30, 2016	Sep 30, 2015	Sep 30, 2014
	Selected Financial Data (US$ in millions)
	Total assets
	Shareholders’ equity
	Solvency Ratio
	Financial leverage¹
	Benchmarks
	Financial Leverage, Competitors²
	Boston Scientific Corp.
	Danaher Corp.
	Intuitive Surgical Inc.
	Medtronic PLC
	Stryker Corp.
	Thermo Fisher Scientific Inc.
	UnitedHealth Group Inc.
	Financial Leverage, Sector
	Health Care Equipment & Services
	Financial Leverage, Industry
	Health Care

Based on: 10-K (filing date: 2019-11-27), 10-K (filing date: 2018-11-21), 10-K (filing date: 2017-11-22), 10-K (filing date: 2016-11-23), 10-K (filing date: 2015-11-25), 10-K (filing date: 2014-11-26).

¹ 2019 Calculation
Financial leverage = Total assets ÷ Shareholders’ equity
= ÷ =

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.	Becton, Dickinson & Co.’s financial leverage ratio decreased from 2017 to 2018 and from 2018 to 2019.

Becton, Dickinson & Co., interest coverage calculation, comparison to benchmarks

		Sep 30, 2019	Sep 30, 2018	Sep 30, 2017	Sep 30, 2016	Sep 30, 2015	Sep 30, 2014
	Selected Financial Data (US$ in millions)
	Net income
	Add: Income tax expense
	Add: Interest expense
	Earnings before interest and tax (EBIT)
	Solvency Ratio
	Interest coverage¹
	Benchmarks
	Interest Coverage, Competitors²
	Boston Scientific Corp.
	Danaher Corp.
	Intuitive Surgical Inc.
	Medtronic PLC
	Stryker Corp.
	Thermo Fisher Scientific Inc.
	UnitedHealth Group Inc.
	Interest Coverage, Sector
	Health Care Equipment & Services
	Interest Coverage, Industry
	Health Care

Based on: 10-K (filing date: 2019-11-27), 10-K (filing date: 2018-11-21), 10-K (filing date: 2017-11-22), 10-K (filing date: 2016-11-23), 10-K (filing date: 2015-11-25), 10-K (filing date: 2014-11-26).

¹ 2019 Calculation
Interest coverage = EBIT ÷ Interest expense
= ÷ =

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.	Becton, Dickinson & Co.’s interest coverage ratio deteriorated from 2017 to 2018 but then improved from 2018 to 2019 not reaching 2017 level.

Becton, Dickinson & Co., fixed charge coverage calculation, comparison to benchmarks

		Sep 30, 2019	Sep 30, 2018	Sep 30, 2017	Sep 30, 2016	Sep 30, 2015	Sep 30, 2014
	Federal statutory tax rate
	Selected Financial Data (US$ in millions)
	Net income
	Add: Income tax expense
	Add: Interest expense
	Earnings before interest and tax (EBIT)
	Add: Rental expense for all operating leases
	Earnings before fixed charges and tax

	Interest expense
	Rental expense for all operating leases
	Preferred stock dividends
	Preferred stock dividends, tax adjustment¹
	Preferred stock dividends, after tax adjustment
	Fixed charges
	Solvency Ratio
	Fixed charge coverage²
	Benchmarks
	Fixed Charge Coverage, Competitors³
	Boston Scientific Corp.
	Danaher Corp.
	Intuitive Surgical Inc.
	Medtronic PLC
	Stryker Corp.
	Thermo Fisher Scientific Inc.
	UnitedHealth Group Inc.
	Fixed Charge Coverage, Sector
	Health Care Equipment & Services
	Fixed Charge Coverage, Industry
	Health Care

Based on: 10-K (filing date: 2019-11-27), 10-K (filing date: 2018-11-21), 10-K (filing date: 2017-11-22), 10-K (filing date: 2016-11-23), 10-K (filing date: 2015-11-25), 10-K (filing date: 2014-11-26).

¹ 2019 Calculation
Preferred stock dividends, tax adjustment = (Preferred stock dividends × Federal statutory tax rate) ÷ (1 − Federal statutory tax rate)
= ( × ) ÷ (1 − ) =

² 2019 Calculation
Fixed charge coverage = Earnings before fixed charges and tax ÷ Fixed charges
= ÷ =

³ 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.	Becton, Dickinson & Co.’s fixed charge coverage ratio deteriorated from 2017 to 2018 but then slightly improved from 2018 to 2019.

	Becton, Dickinson & Co.	Other companies (not purchased previously)
Financial Statements
Common-Size Financial Statements
Analysis of Financial Ratios
Relative Valuation
Discounted Cash Flow (DCF) Valuation
Economic Value Added (EVA)
Long-term Trends
Analysis of Components of Financial Statements
Financial Reporting Quality

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Financial Statements
Common-Size Financial Statements
Analysis of Financial Ratios
Relative Valuation
Discounted Cash Flow (DCF) Valuation
Economic Value Added (EVA)
Long-term Trends
Analysis of Components of Financial Statements
Financial Reporting Quality

Becton, Dickinson & Co. (NYSE:BDX)

Analysis of Solvency Ratios

Solvency Ratios (Summary)

Debt to Equity

Debt to Capital

Debt to Assets

Financial Leverage

Interest Coverage

Fixed Charge Coverage