Use the Days Receivables Calculator to calculate the days receivables from your financial statements. Asset Turnover measures a firm’s efficiency at using its assets to generate sales revenue, the higher the better. Use the Operating Margin Calculator to calculate the operating margin from your working capital formulas and why you should know them financial statements. Financial ratios generally hold no meaning unless they are compared against something else, like past performance, another company/competitor or industry average.
Definitions and terms used in Financial Ratios Calculator
The Dividend Yield shows how much a company pays out in dividends each year relative to its share price. In the absence of any capital gains, the dividend yield is the return on investment for a stock. Earnings earnings vs revenue Per Share is the portion of a company’s profit allocated to each outstanding share of common stock.
Financial Ratios Calculator
Income from Unleveraged Assets is the income generated by the assets funded by shareholders equity and operations. Use the Asset Turnover (Du Pont) Calculator to calculate the economic and accounting profit formula asset turnover and Du Pont ratios from your financial statements. Use the Price to Earnings Ratio Calculator above to calculate the price to earnings ratio from your financial statements.
Profitability Ratios Calculator
Information and interactive calculators are made available to you as self-help tools for your independent use and are not intended to provide investment advice. We cannot and do not guarantee their applicability or accuracy in regards to your individual circumstances. We encourage you to seek personalized advice from qualified professionals regarding all personal finance issues. Profit Margin (Du Pont) is used to determine the profitability of each dollar of sales that company makes. Debt Servicing Ratio is used to assess a company’s ability to meet all of its debt repayment obligations, both interest and principal repayments.
This provides some useful information as to how effectively a company is using its working capital to generate sales. Use the Inventory Turnover Calculator to calculate the inventory turnover from your financial statements. Use the Average Days Sales Calculator to calculate the average days sales from your financial statements. Use the Accounts Receivable Turnover Calculator to calculate the accounts receivable turnover from your financial statements. Use the Earnings per Share Calculator above to calculate the earnings per share from your financial statements. Use the Profit Margin Calculator above to calculate the profit margin from your financial statements.
Use the Working Capital Turnover Calculator above to calculate the working capital turnover from you financial statements. Inventory Turnover Period in Days measures how many days it takes for a company to turnover its entire inventory. Inventory Turnover measures how many times a company’s inventory will be sold and replaced in a year.
- This ratio measures your profitability based on your earnings before interest and tax (EBIT).
- Below 1 means the company does not have sufficient incoming cash flow to meet its obligations over the coming year.
- Use the Days Receivables Calculator to calculate the days receivables from your financial statements.
- The Debt Ratio indicates what proportion of debt a company has relative to its assets.
- It indicates what proportion of equity and debt the company is using to finance its assets.
- The higher the number, the more efficient you are at collecting your accounts receivable.
Use the Asset turnover calculator above to calculate the asset turnover from your financial statements. Return on Common Equity measures a corporation’s profitability by revealing how much profit a company generates with the money shareholders have invested. The quick ratio measures a company’s ability to meet its short-term obligations with its most liquid assets. Leveraged Assets Contribution to NI is the percentage of the pretax income that is provided by management’s use of debt to fund assets.