Do You Know Financial ratios?
Financial ratios can be 'somewhat loosely' classified into different categories.
1. Profitability Ratios
2. Leverage Ratio
3. Valuation Ratios
4. Operating Ratios
1.The Profitability ratios help the analyst measure the profitability of the company. The ratios convey how well the company is able to
perform in terms of generating profits. Profitability of a company also signals the competitiveness of the management. As the profits are needed for business expansion and to pay dividends to its shareholders a company’s profitability is an im-portant consideration for the shareholders.
No comments:
Post a Comment