The PEG ratio is a metric used to analyze growth stocks. It assesses a stock’s price to its earnings level and growth rate of those earnings per share, in evaluating the appeal of the valuation. The ...
Managers and investors both use financial ratios to evaluate business performance. Financial ratios convert financial information into a standardized format that makes it easy for users to evaluate ...
Learn how equity/bond, credit, gold/equity and crypto ratios turn market noise into clear risk‑on vs. risk‑off signals-and ...
There is more than 1 way to skin a cat, or so the saying goes. And there is more than 1 way to figure out how much a company is worth to investors. One yardstick is the price-earnings ratio, aka the P ...
The retention ratio measures the percentage of a company’s earnings that are reinvested rather than distributed as dividends. Investors use the retention ratio to assess how much profit a business ...
Liquidity ratios assess if a company can cover short-term debts with available assets. Key ratios include cash, quick, current, and operating cash flow ratios. A liquidity ratio over 1 suggests a ...
Everyone wants to generate a healthy return on their investments. As the saying goes, you should “buy low and sell high.” But while you may think it’s a good idea to invest in a downward-trending ...
Effective planning and financial management are the keys to running a financially successful small business. Ratio analysis is critical for helping you understand financial statements, for identifying ...
Valuation metrics like the price-to-earnings (P/E) ratio help us understand whether a security is cheap or expensive relative ...