Financial ratios are used almost universally by companies of all sizes to provide numerical information on the profitability, health and direction of the business. Financial ratios provide useful ...

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 ...

A higher Sortino ratio can indicate a good return relative to the risk taken. The Sortino ratio focuses on downside volatility, while the Sharpe ratio considers both upside and downside volatility in ...

A common way that analysts and investors measure the performance of a company selling goods is by using financial ratios. One ratio that is useful for evaluating a company's effectiveness in utilizing ...

Discover how the loss ratio and combined ratio assess insurance profitability by comparing incurred losses to premiums and expenses.

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 ...

Understanding how much of a company’s profits are returned to shareholders in the form of dividends depends mostly on its dividend payout ratio in finance. This ratio provides investors looking for ...

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 ...