How to invest

ratios

description

Measures how efficiently the assets of a company have been used to generate income.

Compares earnings with capital employed, using Capital employed as defined by Greenblatt.

Measures operating efficiency apart from tax and leveraging factors.

An indicator of how profitable a company is relative to its total assets. It's a useful number for comparing competing companies in the same industry.

Measures a corporation's profitability by revealing how much profit a company generates with the money shareholders have invested.

Asset turnover measures a firm's efficiency at using its assets in generating revenue.There is no number that determines whether a company is doing a good job of generating revenue from its asset [..]

Liquidity ratio. Measures whether or not a firm has enough resources to pay its debts over the next 12 months