The debt-service coverage ratio (DSCR) measures the cash flow available to pay current debt obligations. Many lenders set ...

Learn how the down-market capture ratio evaluates investment manager performance in declining markets with formulas and examples to guide your financial decisions.

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 ...

The DSCR measures how well a company can service its debt with its current revenue. Here’s how to calculate it. In a nutshell, the Debt Service Coverage Ratio (DSCR) measures a company’s ability to ...

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 ...

The dividend payout ratio is among the most crucial dividend metrics for new investors to master. Consider learning how to calculate dividend payout ratio to learn the dividend payment measure ...

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 ...

An industry or financial ratio compares sets of financial or other data within a company to measure its operating performance and financial condition. A company's management uses ratios to make key ...

If you are an investor, the current ratio is a measure you’ll likely want to use to analyze the companies in which you are considering investing. The current ratio is a liquidity measure. It ...

The number of times a business sells and replaces its stock over a given time period is its inventory turnover ratio. The inventory turnover ratio, also sometimes called stock turns or inventory turns ...

The Market-to-Book (M/B) ratio is an essential metric used to evaluate whether a company’s stock is trading above or below the value of its assets. By comparing market value with the book value, this ...

The compression ratio isn’t just a number: it’s one of the greatest determining factors in engine building. Compression ratio determines the type of fuel, how much boost, and has a significant ...