Question

What are the important ratios to know when investing in stocks?

Answer 1

The important ratios to know when investing in stocks are:

1.P/E RATIO

2.PRICE-TO-BOOK VALUE

3.DEBT-TO-EQUITY RATIO

4.OPERATING PROFIT MARGIN (OPM)

5. EV/EBITDA

6.PRICE/EARNINGS GROWTH RATIO  

7.RETURN ON EQUITY

8.INTEREST COVERAGE RATIO

9.CURRENT RATIO

10.ASSET TURNOVER RATIO

11.DIVIDEND YIELD