Financial Measures

Anything related to financial measures, finance, accounting, auditing


Earnings per Share (EPS)

The Earnings Per Share (EPS) financial measure captures the portion of a company's profit allocated to each outstanding share of common stock. Earnings per share (EPS) serves as an indicator of a company's profitability.

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Price/Earnings Ratio (P/E Ratio)

The Price/Earnings Ratio, also Price-to-Earnings Ratio, or shortly the P/E ratio, is a valuation metric of a company's current share price compared to its per-share earnings. The P/E ratio looks at the relationship between the stock price and the company’s earnings.

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Cash Asset Ratio (CAR)

The Cash Ratio (CaR) or Cash Asset Ratio (CAR) is a method or a formula for capturing the liquidity of a company by comparing company's cash reserves and liabilities.

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Return On Assets (ROA)

Retun On Assets (or ROA for short) is an indicator informing the user about how profitable a company is relative to its total assets. It tells the user how effective a business has been at putting its assets to work.

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Capital Adequacy Ratio (CAR)

Capital Adequacy Ratio (CAR) is a ratio that regulators in the banking system use to watch bank's health, specifically bank's capital to its risk. Regulators in the banking system track a bank's CAR to ensure that it can absorb a reasonable amount of loss.

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Current Ratio (CuR)

The Current Ratio (CUR) is a model or a method used to measure the liquidity of a company by comparing all current assets to all current liabilities.

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Quick Ratio (QuR) and Acid-Test Ratio

The Quick Ratio (QUR) is a model or a method used for measuring the liquidity of a company by calculating the ratio between all assets quickly convertible into cash and all current liabilities.

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Return On Investment (ROI)

Return on Investment (ROI) is a traditional financial measure similar to Return on Equity (ROE) that is used to measure corporation's profitability that reveals how much profit a company generates with the money and other sources from investors.

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Return On Equity (ROE)

Return On Equity (ROE) is an accounting method similar to Return on Investment (ROI) that is used as a measure of a corporation's profitability that reveals how much profit a company generates with the money raised from shareholders.

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Free Cash Flow (FCF)

Free Cash Flow (FCF) is the amount of cash that a company has left over after it has paid all of its expenses, including investments. It is the cash that a company is able to generate after laying out the money required to maintain or expand its asset base.

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