Financial ratios are indicators used to analyze an entityâ??s financial performance. Financial ratios are used by bankers, creditors, shareholders and accountants to evaluate data presented on an ...

Trading and investing can involve a lot of comparing. We do this to not only get a feel for our investments but to also value new ones. One of the easiest ways to compare anything is via ratios. Three ...

Julia Kagan is a financial/consumer journalist and former senior editor, personal finance, of Investopedia. Qualifying ratios are financial metrics that lenders use to assess a borrower's ability to ...

Adam Hayes, Ph.D., CFA, is a financial writer with 15+ years Wall Street experience as a derivatives trader. Besides his extensive derivative trading expertise, Adam is an expert in economics and ...

One of the key metrics used to gauge the efficiency of a business is the activity ratio. This type of financial measurement provides insights into how well a company utilizes its assets to generate ...

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 ...

Investing in stocks can get you closer to your long-term financial goals. These assets gain value as the corporations issuing shares report revenue and earnings growth. While some investors look for ...