Financial ratios are tools that companies use to understand their performance by comparing different aspects of their performance. For instance, to identify the current ratio you divide currents ...

Ratio analysis assesses company performance using financial ratios. ITW improved profit margins and FCF through strategic alignment. ITW's stock outperformed S&P 500 over a decade, showing strategic ...

The artificial intelligence (AI) industry is growing rapidly, and investors are looking for ways to gain exposure to this market. One way to do this is through ETFs that invest in AI. This article ...

The Treynor ratio is a tool in portfolio analysis that helps investors assess how well a portfolio compensates them for taking on market risk, also known as systematic risk. This portfolio ratio shows ...

Q: The most common way I hear analysts value stocks is with the price-to-earnings ratio. How useful is this, and what other metrics are worth considering? The price-to-earnings (P/E) ratio is ...

The key to a great picture lies in contrast ratios but a higher number isn't always better ...

Understanding the compa ratio is essential for evaluating employee compensation. This metric helps ensure salaries are competitive and fair within the market. The MarketWatch Guides team has provided ...

Opinions expressed by Entrepreneur contributors are their own. Everything in business is relative. The numbers for your profits, sales, and net worth need to be compared with other components of your ...

Analyzing a company's financial ratios is one way of examining a company's balance sheet and income statement. Financial ratios track a company's performance, liquidity, operational efficiency, and ...

J.B. Maverick is an active trader, commodity futures broker, and stock market analyst 17+ years of experience, in addition to 10+ years of experience as a finance writer and book editor. Andy Smith is ...

Learn how debt-to-income and housing expense ratios determine loan approval. Understand their role in personal loans and mortgages for better financial decisions.