The debt-to-equity ratio (D/E) is a financial leverage ratio that can be helpful when attempting to understand a company's economic health and if an investment is worthwhile or not. It is considered ...

"As debt becomes more expensive to service," Graham says, "companies with larger than average debt burdens must allocate more cash towards paying down debt instead of returning that cash to ...

Leverage ratios compare a company's debt to financial metrics like equity or earnings. High leverage ratios suggest potential default risks, guiding investors on company selection. Industry-specific ...

How do you measure the burden of debt at a corporation? The traditional way is to compare debt to stockholders’ equity. But that doesn’t work well in a world of intangible assets. Better: compare debt ...

Debt ratio shows a company's ability to handle debt and invest wisely. Trend in a company's debt ratio indicates its ongoing fiscal health and investment quality. Different industries justify varying ...