financial ratio

Financial ratio

The result of dividing one financial statement item by another. Ratios help analysts interpret financial statements by focusing on specific relationships.

Financial Ratio

The division of one piece of financial information by another. Financial ratios are very common in fundamental analysis, which investigates the financial health of companies. An example of a financial ratio is the price-earnings ratio, which divides a publicly-traded company's share price by its earnings per share. This helps analysts determine whether a company's share price properly reflects its performance.

financial ratio

See ratio.

financial ratio

see ACCOUNTING RATIO.

单词	financial ratio
释义	financial ratio Financial ratio The result of dividing one financial statement item by another. Ratios help analysts interpret financial statements by focusing on specific relationships. Financial Ratio The division of one piece of financial information by another. Financial ratios are very common in fundamental analysis, which investigates the financial health of companies. An example of a financial ratio is the price-earnings ratio, which divides a publicly-traded company's share price by its earnings per share. This helps analysts determine whether a company's share price properly reflects its performance. financial ratio See ratio. financial ratio see ACCOUNTING RATIO.
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