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Equity ratio

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used by a company. The equity ratio measures the proportion of the total assets that are financed by stockholders, as opposed to creditors. A low equity ratio will produce good results for stockholders as long as the company earns a rate of return on assets that is greater than the interest rate paid
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or statement of financial position (so-called book value), but the ratio may also be calculated using market values for both, if the company's equities are publicly traded.
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used to finance a company's assets. The two components are often taken from the firm's
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The equity ratio is a good indicator of the level of
46:. Unsourced material may be challenged and removed. 190: 8: 197: 183: 175: 106:Learn how and when to remove this message 156: 126:indicating the relative proportion of 302:Present value of growth opportunities 222:Cyclically adjusted price-to-earnings 7: 268:Enterprise value/gross cash invested 44:adding citations to reliable sources 14: 20: 373:Risk-adjusted return on capital 31:needs additional citations for 1: 234:Cash return on cash invested 444: 355:Return on capital employed 367:Return on tangible equity 212: 320:Price-earnings to growth 262:Enterprise value/EBITDA 274:Enterprise value/sales 343:Return on net assets 40:improve this article 228:Capitalization rate 401:Sustainable growth 415: 414: 349:Return on capital 217:Buffett indicator 116: 115: 108: 90: 435: 428:Financial ratios 361:Return on equity 337:Return on assets 291:Operating margin 206:Financial ratios 199: 192: 185: 176: 169: 168: 161: 111: 104: 100: 97: 91: 89: 48: 24: 16: 443: 442: 438: 437: 436: 434: 433: 432: 418: 417: 416: 411: 308:Price/cash flow 251:Dividend payout 208: 203: 173: 172: 163: 162: 158: 153: 140: 124:financial ratio 112: 101: 95: 92: 49: 47: 37: 25: 12: 11: 5: 441: 439: 431: 430: 420: 419: 413: 412: 410: 409: 404: 398: 393: 390:Short interest 387: 382: 376: 370: 364: 358: 352: 346: 340: 334: 329: 323: 317: 314:Price-earnings 311: 305: 299: 293: 288: 283: 277: 271: 265: 259: 256:Earnings yield 253: 248: 246:Dividend cover 243: 240:Debt-to-equity 237: 231: 225: 219: 213: 210: 209: 204: 202: 201: 194: 187: 179: 171: 170: 165:"Equity Ratio" 155: 154: 152: 149: 147:to creditors. 139: 138:Interpretation 136: 114: 113: 55:"Equity ratio" 28: 26: 19: 13: 10: 9: 6: 4: 3: 2: 440: 429: 426: 425: 423: 408: 405: 402: 399: 397: 394: 391: 388: 386: 383: 380: 377: 374: 371: 368: 365: 362: 359: 356: 353: 350: 347: 344: 341: 338: 335: 333: 332:Profit margin 330: 327: 324: 321: 318: 315: 312: 309: 306: 303: 300: 297: 296:Price-to-book 294: 292: 289: 287: 284: 281: 280:Loan-to-value 278: 275: 272: 269: 266: 263: 260: 257: 254: 252: 249: 247: 244: 241: 238: 235: 232: 229: 226: 223: 220: 218: 215: 214: 211: 207: 200: 195: 193: 188: 186: 181: 180: 177: 166: 160: 157: 150: 148: 145: 137: 135: 133: 132:balance sheet 129: 125: 121: 110: 107: 99: 88: 85: 81: 78: 74: 71: 67: 64: 60: 57: –  56: 52: 51:Find sources: 45: 41: 35: 34: 29:This article 27: 23: 18: 17: 159: 141: 120:equity ratio 119: 117: 102: 96:January 2008 93: 83: 76: 69: 62: 50: 38:Please help 33:verification 30: 379:Risk return 326:Price-sales 264:(EV/EBITDA) 276:(EV/Sales) 230:(Cap Rate) 151:References 66:newspapers 422:Category 270:(EV/GCI) 144:leverage 407:Treynor 396:Sortino 375:(RAROC) 236:(CROCI) 80:scholar 385:Sharpe 369:(ROTE) 357:(ROCE) 345:(RONA) 310:(P/CF) 304:(PVGO) 224:(CAPE) 128:equity 82:  75:  68:  61:  53:  403:(SGR) 392:(SIR) 381:(RRR) 363:(ROE) 351:(ROC) 339:(ROA) 328:(P/S) 322:(PEG) 316:(P/E) 298:(P/B) 286:Omega 282:(LTV) 258:(E/P) 242:(D/E) 122:is a 87:JSTOR 73:books 118:The 59:news 42:by 424:: 198:e 191:t 184:v 167:. 109:) 103:( 98:) 94:( 84:· 77:· 70:· 63:· 36:.

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verification
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"Equity ratio"
news
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scholar
JSTOR
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financial ratio
equity
balance sheet
leverage
"Equity Ratio"
v
t
e
Financial ratios
Buffett indicator
Cyclically adjusted price-to-earnings
Capitalization rate
Cash return on cash invested
Debt-to-equity
Dividend cover
Dividend payout
Earnings yield
Enterprise value/EBITDA
Enterprise value/gross cash invested

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