Financial Ratios Finance
Financial ratios in finance are quantitative metrics used to assess the financial health and performance of a company. These ratios are calculated by dividing one financial metric by another to provide insights into various aspects of a company's operations, such as profitability, liquidity, solvency, and efficiency. Investors, analysts, and stakeholders use financial ratios to make informed decisions about investing, lending, or operating within a particular company or industry. Some common financial ratios include the debt-to-equity ratio, return on assets, current ratio, and earnings per share.