Zacks.com featured highlights include BioMarin, Amazon.com, Leidos and The Ensign

For Immediate ReleaseChicago, IL – January 23, 2025 – Stocks in this week’s article are — BioMarin Pharmaceutical Inc. BMRN, Amazon.com, Inc. AMZN, Leidos Holdings, Inc. LDOS and The Ensign Group, Inc. ENSG.These Stocks Boast Impressive Interest Coverage RatiosRelying 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 informed decisions, especially in today’s unpredictable market.While sales and earnings are often the go-to metrics, they can sometimes be misleading and may not show whether a company has the financial strength to cover its obligations. This is where the coverage ratio holds the key — a higher ratio signals that a company is more capable of meeting its financial commitments.BioMarin Pharmaceutical Inc., Amazon.com, Inc., Leidos Holdings, Inc. and The Ensign Group, Inc. boast an impressive interest coverage ratio.Why Interest Coverage Ratio?The interest coverage ratio is used to determine how effectively a company can pay interest charges on its debt.Debt, which is crucial to financing operations for the majority of companies, comes at a cost called interest. Interest expense has a direct bearing on the profitability of a company. The company’s creditworthiness depends on how effectively it meets its interest obligations. Therefore, the interest coverage ratio is one of the important criteria to factor in before making any investment decision.Interest Coverage Ratio = Earnings before Interest & Taxes (EBIT) divided by Interest Expense.The interest coverage ratio suggests how many times the interest could be paid from earnings and gauges the margin of safety a firm has for paying interest.An interest coverage ratio lower than 1 suggests that the company is unable to fulfill its interest obligations and could default on repaying debt. A company capable of generating earnings well above its interest expense can withstand financial hardships. One should also track the company’s past performance to determine whether the interest coverage ratio has improved or worsened over time.The Winning StrategyApart from having an interest coverage ratio that is more than the industry average, adding a favorable Zacks Rank and a VGM Score of A or B to your search criteria should lead to better results.Here are four of the 15 stocks that qualified the screening:BioMarin Pharmaceutical, a global biotechnology company, sports a Zacks Rank #1 and a VGM Score of A. BMRN has a trailing four-quarter earnings surprise of 28.7%, on average. You can see the complete list of today’s Zacks #1 Rank stocks here.The Zacks Consensus Estimate for BioMarin’s current financial year sales and EPS suggests growth of 16.5% and 58.2%, respectively, from the year-ago period’s levels. The stock has fallen 32.8% in the past year.Amazon, a multinational technology company focused on e-commerce, cloud computing, online advertising, digital streaming and artificial intelligence, has a Zacks Rank #2 and a VGM Score of A.The Zacks Consensus Estimate for Amazon’s current financial year sales and EPS calls for growth of 10.9% and 82.4%, respectively, from the year-ago period’s levels. AMZN has a trailing four-quarter earnings surprise of 25.9%, on average. The stock has surged 47.8% in the past year.See the Zacks Earnings Calendar to stay ahead of market-making news.Leidos Holdings, which provides services and solutions in the defense, intelligence, civil and health markets in the United States and internationally, has a VGM Score of A and carries a Zacks Rank #2.The Zacks Consensus Estimate for Leidos Holdings’ current financial year sales and EPS suggests growth of 6.4% and 37.4%, respectively, from a year ago. Leidos Holdings has a trailing four-quarter earnings surprise of 29.9%, on average. The stock has risen 45.2% in the past year.Ensign Group, a healthcare company that provides nursing, assisted living and other rehabilitation services, carries a Zacks Rank #2 and has a VGM Score of B. ENSG has a trailing four-quarter earnings surprise of 1.3%, on average.The Zacks Consensus Estimate for Ensign Group’s current financial year sales and EPS implies growth of 14% and 15.1%, respectively, from the year-ago period. The stock has rallied 19% in the past year.You can get the rest of the stocks on this list by signing up now for your 2-week free trial to the Research Wizard and start using this screen in your own trading. Further, you can also create your own strategies and back test them first before taking the investment plunge.The Research Wizard is a great place to begin. It's easy to use. Everything is in plain language. And it's very intuitive. Start your Research Wizard trial today. And the next time you read an economic report, open up the Research Wizard, plug your finds in, and see what gems come out.Click here to sign up for a free trial to the Research Wizard today.For the rest of this Screen of the Week article please visit Zacks.com at: https://www.zacks.com/stock/news/2401418/these-4-stocks-boast-impressive-interest-coverage-ratio?art_rec=quote-stock_overview-zacks_news-ID03-txt-2401418Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates.Contact: Jim GiaquintoCompany: Zacks.comPhone: 312-265-9268Email: pr@zacks.comVisit: https://www.zacks.com/Zacks.com provides investment resources and informs you of these resources, which you may choose to use in making your own investment decisions. Zacks is providing information on this resource to you subject to the Zacks "Terms and Conditions of Service" disclaimer. www.zacks.com/disclaimer.Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.7 Best Stocks for the Next 30 DaysJust released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops."Since 1988, the full list has beaten the market more than 2X over with an average gain of +24.1% per year. So be sure to give these hand picked 7 your immediate attention. See them now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Amazon.com, Inc. (AMZN): Free Stock Analysis Report BioMarin Pharmaceutical Inc. (BMRN): Free Stock Analysis Report Leidos Holdings, Inc. (LDOS): Free Stock Analysis Report The Ensign Group, Inc. (ENSG): Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks