The debt-to-equity (D/E) ratio is a financial metric that measures a company's financial leverage by comparing its total debt to shareholders' equity. It indicates how much debt a company uses to ...

A leverage ratio measures the level of debt being used by a business. There are several different types of leverage ratios, including equity multiplier, debt-to-equity (D/E) ratio, and degree of ...

Are you a small business owner? Maybe you’re just flirting with the idea of starting your own side hustle and want to understand your profit potential. Calculating your debt-to-equity ratio is one of ...

When you want to get an idea of a company's financial condition, ratio analysis is one of the tools of the trade. In the following article, you'll learn about two useful balance sheet ratios: the debt ...

The three primary sections of a balance sheet are assets, liabilities and stockholders' equity. Liabilities and equity are the two sources of financing a business uses to fund its assets. Liabilities ...

Equity-to-asset ratio indicates how much of a company is owned versus debt-leveraged. To calculate, divide total equity by total assets; e.g., $4M/$5M = 80%. Compare ratio to industry to assess ...

Businesses can rely on many measures to determine how financially healthy they are. Calculating their fixed-asset-to-equity-capital ratio is one way. This ratio determines whether a company's fixed ...

Leverage ratios compare a company's debt to financial metrics like equity or earnings. High leverage ratios suggest potential default risks, guiding investors on company selection. Industry-specific ...

Learn to calculate unlevered beta and understand how it isolates market risk by removing debt impact, empowering investors to ...

Margin equity is the difference between the total market value of an investment account and the outstanding margin loan balance, while margin equity percentage is the ratio of the account's equity to ...

There are a multitude of financial ratios used by investors to measure the health of a company. Some measure cash flow and profitability, while others are used to determine the health of a company's ...