Financial ratios are an indicator of health for any business. They may seem esoteric, but to lenders and investors they tell the true story of a company's financial strength and ability to weather an ...

The price-to-book ratio, or P/B ratio, looks at a company from a different angle. It compares the stock’s market ...

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 ...

Human resource departments have a number of ways to analyze and forecast external hiring demand. The ratio analysis formula used in HR is a forecasting tool commonly used to predict annual external ...

How well can current assets cover current liabilities? Reviewed by Amy Drury The acid-test ratio (ATR), also commonly known as the quick ratio, measures the liquidity of a company by calculating how ...

Will Kenton is an expert on the economy and investing laws and regulations. He previously held senior editorial roles at Investopedia and Kapitall Wire and holds a MA in Economics from The New School ...

Learn what absolute value means in finance, explore calculation methods like DCF analysis, and see examples to identify stock values.

Industry analysis is a tool that facilitates a company’s understanding of its position relative to other companies that produce similar products or services. Understanding the forces at work in the ...

Fundamental analysis is a method used to evaluate the intrinsic value of a financial asset, such as a stock, bond, or currency. This analysis involves examining various economic, financial, and ...