The Interest Coverage Ratio, often abbreviated as ICR ... and lenders use it to evaluate a borrower’s ability to service debt. Helps Investors Assess Risk: Investors use ICR to gauge the ...

If it costs too much money to service the debt ... For example, the debt-to-equity ratio and interest coverage ratios are supplemental ways to see how leveraged a company is.

Relying solely on stock price movements without understanding the company’s fundamentals can cause investors to lose money. Investors must carefully review a company's financial health to make ...