Financial ratios are an indicator of health for any business. They may seem esoteric, but to lenders and investors they tell the true story of a company's financial strength and ability to weather an ...

Discover how the goodwill to assets ratio reveals a company's intangible value through its goodwill compared to total assets, with interpretation and real-world examples.

Also known as liquidity ratios, liquid ratios measure how well a firm can use its short-term assets to meet its short-term debt obligations. Business managers can use several different liquidity ...

Debt-to-capital ratio is the proportion of a company's total capital that is debt. The ratio is a useful measure of how much a company relies on debt (rather than equity) to finance its operations—and ...

When it comes to income investing, it’s good to know the dividend payout ratio formula. It can give you insight into dividend safety. When it comes to dividend stocks, this ratio is always on my ...

Liquidity ratios are key financial ratios used by internal and external analysts to gauge a company's liquidity, which represents its capacity to pay its existing short-term liabilities if it needs to ...

What is a good return for your portfolio? If a bond portfolio generated a 4% return over the past year, it could be considered a pretty decent return. However, investors who prioritized high-growth ...

The quick ratio, also known as the acid-test ratio, measures a company's ability to pay off its current debt. Current debt includes any liabilities coming due within a year, like accounts payable and ...

Investing in stocks involves looking at many different numbers and ratios to understand a company’s value and future potential. One of the most useful tools for this is the PEG ratio. Unlike simpler ...