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Sears Hometown and Outlet Stores (Sears Hometown and Outlet Stores) Interest Coverage : 0 (At Loss) (As of Jul. 2019)


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What is Sears Hometown and Outlet Stores 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. Sears Hometown and Outlet Stores's Operating Income for the three months ended in Jul. 2019 was $-16 Mil. Sears Hometown and Outlet Stores's Interest Expense for the three months ended in Jul. 2019 was $-3 Mil. did not have earnings to cover the interest expense. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Sears Hometown and Outlet Stores's Interest Coverage or its related term are showing as below:


SHOS's Interest Coverage is not ranked *
in the Retail - Cyclical industry.
Industry Median: 7.93
* Ranked among companies with meaningful Interest Coverage only.

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


Sears Hometown and Outlet Stores Interest Coverage Historical Data

The historical data trend for Sears Hometown and Outlet Stores'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.

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Sears Hometown and Outlet Stores Interest Coverage Chart

Sears Hometown and Outlet Stores Annual Data
Trend Jan11 Jan12 Jan13 Jan14 Jan15 Jan16 Jan17 Jan18 Jan19
Interest Coverage
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Sears Hometown and Outlet Stores Quarterly Data
Oct14 Jan15 Apr15 Jul15 Oct15 Jan16 Apr16 Jul16 Oct16 Jan17 Apr17 Jul17 Oct17 Jan18 Apr18 Jul18 Oct18 Jan19 Apr19 Jul19
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Competitive Comparison of Sears Hometown and Outlet Stores's Interest Coverage

For the Department Stores subindustry, Sears Hometown and Outlet Stores'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.


Sears Hometown and Outlet Stores's Interest Coverage Distribution in the Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Sears Hometown and Outlet Stores's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Sears Hometown and Outlet Stores's Interest Coverage falls into.



Sears Hometown and Outlet Stores 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.

Sears Hometown and Outlet Stores's Interest Coverage for the fiscal year that ended in Jan. 2019 is calculated as

Here, for the fiscal year that ended in Jan. 2019, Sears Hometown and Outlet Stores's Interest Expense was $-15 Mil. Its Operating Income was $-38 Mil. And its Long-Term Debt & Capital Lease Obligation was $0 Mil.

Sears Hometown and Outlet Stores did not have earnings to cover the interest expense.

Sears Hometown and Outlet Stores's Interest Coverage for the quarter that ended in Jul. 2019 is calculated as

Here, for the three months ended in Jul. 2019, Sears Hometown and Outlet Stores's Interest Expense was $-3 Mil. Its Operating Income was $-16 Mil. And its Long-Term Debt & Capital Lease Obligation was $4 Mil.

Sears Hometown and Outlet Stores did not have earnings to cover the interest expense.

* 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.


Sears Hometown and Outlet Stores  (NAS:SHOS) 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 .


Sears Hometown and Outlet Stores Interest Coverage Related Terms

Thank you for viewing the detailed overview of Sears Hometown and Outlet Stores's Interest Coverage provided by GuruFocus.com. Please click on the following links to see related term pages.


Sears Hometown and Outlet Stores (Sears Hometown and Outlet Stores) Business Description

Traded in Other Exchanges
N/A
Address
5500 Trillium Boulevard, Suite 501, Hoffman Estates, IL, USA, 60192
Sears Hometown and Outlet Stores Inc is a national retailer engaged in the selling of home appliances, lawn and garden equipment, and hardware at its stores and on its websites. It also offers its customers the opportunity to acquire home appliance, lawn and garden, fitness, bedding, and other categories of merchandise and product protection agreements through the lease-to-own program that it operates by agreement with a third party. Its business segments are the Sears Hometown and Hardware, and the Sears Outlet.
Executives
William K Phelan director 3333 BEVERLY ROAD HOFFMAN ESTATES IL 60179
James F Gooch director C/O 5500 TRILLIUM BOULEVARD, SUITE 501, HOFFMAN ESTATES IL 60192
Josephine Linden director 6601 SOUTH BERMUDA ROAD, LAS VEGAS NV 89119
Esl Partners Lp 10 percent owner 1170 KANE CONCOURSE, SUITE 200, BAY HARBOR FL 33154
Esl Investments Inc 10 percent owner 1170 KANE CONCOURSE, SUITE 200, BAY HARBOR ISLANDS FL 33154
Edward S Lampert 10 percent owner 1170 KANE CONCOURSE, SUITE 200, BAY HARBOUR FL 33154
Rbs Partners L P /ct 10 percent owner 1170 KANE CONCOURSE, SUITE 200, BAY HARBOR ISLANDS FL 33154
Ryan D Robinson officer: Senior VP and CFO/CAO 5500 TRILLIUM BOULEVARD, SUITE 501, HOFFMAN ESTATES IL 60192
Rbs Investment Management Llc 10 percent owner 1170 KANE CONCOURSE, SUITE 200, BAY HARBOR FL 33154
Esl Institutional Partners Lp 10 percent owner 1170 KANE CONCOURSE, SUITE 200, BAY HARBOR FL 33154
Crk Partners Llc 10 percent owner 1170 KANE CONCOURSE, SUITE 200, BAY HARBOR ISLANDS FL 33154
Spe Master I, L.p. 10 percent owner 1170 KANE CONCOURSE, SUITE 200, BAY HARBOR FL 33154
Spe I Partners, L.p. 10 percent owner 1170 KANE CONCOURSE, SUITE 200, BAY HARBOR FL 33154
Jeffrey Flug director C/O PENNANTPARK INVESTMENT CORPORATION, 445 PARK AVENUE, 10TH FLOOR, NEW YORK NY 10022
William R Harker director 5500 TRILLIUM BOULEVARD, SUITE 501, HOFFMAN ESTATES IL 60192