FIDI - Fidelity Interna...

A current ratio of 1.0 or greater is an indication that the company is well-positioned to cover its current or short-term liabilities.

The financial reporting of both companies and investment research services use a basic earnings per share (EPS) figure divided into the current stock price to calculate the P/E multiple (i.e. how many times a stock is trading (its price) per each dollar of EPS).

The P/E ratio and P/S reflects how many times investors are paying for every dollar of a company's sales. Since earnings are subject, to one degree or another, to accounting estimates and management manipulation, many investors consider a company's sales (revenue) figure a more reliable ratio component in calculating a stock's price multiple than the earnings figure.

The price/cash flow ratio is used by investors to evaluate the investment attractiveness, from a value standpoint, of a company's stock.

The total value of all outstanding shares of a stock by its free cash flow.

The price-to-book value ratio, expressed as a multiple (i.e. how many times a company's stock is trading per share compared to the company's book value per share), is an indication of how much shareholders are paying for the net assets of a company.

Scales how the market values a company's sales in the context of its enterprise value.

Measure of a company's total value, taking into account its market capitalization and also its debt and cash.

A comparison between a company's EV to its earnings before interest, taxes, depreciation and amortization.

A comparison between a company's EV to its operating cash flow.

The company's EPS as a percentage of its current market price per share.

The company's free cash flow per share as a percentage of its current market price per share.

A ratio of a company's total debt to its total equity.

A ratio of a company's total debt to its total assets.

A ratio that compares a company's net debt to its earnings before intersection, taxes, depreciation, and amortization.

The lower a company’s interest coverage ratio is, the more its debt expenses burden the company.

A measure of the sustainability and reliability of a company's reported income.

Income investors value a dividend-paying stock, while growth investors have little interest in dividends, preferring to capture large capital gains. Whatever your investing style, it is a matter of historical record that dividend-paying stocks have performed better than non-paying-dividend stocks over the long term.

The dividend payout ratio is an indicator of how well earnings support the dividend payment.

A metric that assesses the efficiency of a company's operating cost structure.

A metric that measures a company's ability to generate earnings from its tangible assets.

A metric that represents the difference between a company's current assets and current liabilities.

The total monetary worth of a company's physical assets that have a clear market value and are used in its operations.

A metric that represents the difference between a company's current assets and total liabilities.

The average amount of accounts receivable that a company has over a specific period.

A metric that measures how efficiently a company manages its accounts receivables.

The amount of revenue generated by a company for each outstanding share of its common stock.

The amount of debt a company has for each outstanding share of its common stock.

ROE this ratio calculates how much money is made based on the investors' investment in the company.investors want to see a high return on equity ratio because this indicates that the company is using its investors' funds effectively.

The capital expenditures (Capex) incurred by a company divided by the number of outstanding shares. It represents investments in long-term assets, such as equipment or property, that are expected to provide future benefits.

The quick ratio is more conservative than the current ratio because it excludes inventory and other current assets, which generally are more difficult to turn into cash. A higher quick ratio means a more liquid current position.

The cash ratio is almost like an indicator of a firm’s value under the worst-case scenario where the company is about to go out of business.

The amount of money from product sales left over after all of the direct costs associated with manufacturing the product have been paid.

ROAs give an indication of the capital intensity of the company, which will depend on the industry; companies that require large initial investments will generally have lower return on assets. ROAs over 5% are generally considered good.

ROE this ratio calculates how much money is made based on the investors' investment in the company.investors want to see a high return on equity ratio because this indicates that the company is using its investors' funds effectively.

ROCE shows investors how many dollars in profits each dollar of capital employed generates.

A measure of financial leverage.

NIperEBT.

While a high capitalization ratio can increase the return on equity because of the tax shield of debt, a higher proportion of debt increases the risk of bankruptcy for a company.

Capitalization ratio describes to investors the extent to which a company is using debt to fund its business and expansion plans.

Calculates how efficiently a company is a producing sales with its machines and equipment.

Gives investors an idea of the company's ability to turn sales into cash.

The higher the percentage of free cash flow embedded in a company's operating cash flow, the greater the financial strength of the company.

The operating cash flow is simply the amount of cash generated by the company from its main operations, which are used to keep the business funded.

The short-term debt coverage ratio compares the sum of a company's short-term borrowings and the current portion of its long-term debt to operating cash flow.

The larger the operating cash flow coverage for these items, the greater the company's ability to meet its obligations, along with giving the company more cash flow to expand its business, withstand hard times, and not be burdened by debt servicing and the restrictions typically included in credit agreements.

For conservative investors focused on cash flow coverage, comparing the sum of a company's capital expenditures and cash dividends to its operating cash flow is a stringent measurement that puts cash flow to the ultimate test. If a company is able to cover both of these outlays of funds from internal sources and still have cash left over, it is producing what might be called "free cash flow on steroids". This circumstance is a highly favorable investment quality.

DSO tells you how many days after the sale it takes people to pay you on average.

DIO tells you how many days inventory sits on the shelf on average.

(DSO + DIO )Basically the Operating Cycle tells you how many days it takes for something to go from first being in inventory to receiving the cash after the sale.

DPO tells you how many days the company takes to pay its suppliers.

The cash conversion cycle (CCC = DSO + DIO – DPO) measures the number of days a company's cash is tied up in the production and sales process of its operations and the benefit it derives from payment terms from its creditors. The shorter this cycle, the more liquid the company's working capital position is. The CCC is also known as the "cash" or "operating" cycle.

If companies can make enough money from their operations to support the business, the company is usually considered more stable.

Profit is the main goal of for-profit organizations. The goal is to make a profit through growth and to grow every year. As a result, one of the most important roles of the financial and investment analyst is to track and forecast profitability.

Generally, a net profit margin in excess of 10% is considered excellent, though it depends on the industry and the structure of the business.

If there’s one takeaway, it should be that a company’s tax situation is all but a living, breathing organism in its own right.

EBTperEBIT.

EBITperRevenue

The debt ratio tells us the degree of leverage used by the company.

This is a measurement of the percentage of the company’s balance sheet that is financed by suppliers, lenders, creditors and obligors versus what the shareholders have committed.

The cash flow to debt ratio reveals the ability of a business to support its debt obligations from its operating cash flows.

The Asset Turnover ratio can often be used as an indicator of the efficiency with which a company is deploying its assets in generating revenue.

The PEG ratio is a refinement of the P/E ratio and factors in a stock's estimated earnings growth into its current valuation.The general consensus is that if the PEG ratio indicates a value of 1, this means that the market is correctly valuing (the current P/E ratio) a stock in accordance with the stock's current estimated earnings per share growth. If the PEG ratio is less than 1, this means that EPS growth is potentially able to surpass the market's current valuation. In other words, the stock's price is being undervalued. On the other hand, stocks with high PEG ratios can indicate just the opposite - that the stock is currently overvalued.

Overall, this measurement allows investors to assess a company on the same basis as that of an acquirer. As a rough calculation, enterprise value multiple serves as a proxy for how long it would take for an acquisition to earn enough to pay off its costs in years(assuming no change in EBITDA).

Helps investors determine whether a stock is trading at, below, or above its fair value estimate,A price/fair value ratio below 1 suggests the stock is trading at a discount to its fair value, while a ratio above 1 suggests it is trading at a premium to its fair value.

A metric that measures the efficiency and profitability of a company's capital investments.

A metric that measures how efficiently a company manages its accounts payable.

A metric that measures how efficiently a company manages its inventory. A higher inventory turnover ratio indicates that a company is selling and replenishing its inventory quickly, which is generally considered favorable.

A metric that represents the amount of cash a company has on hand for each outstanding share of its common stock. It provides insight into the liquidity and financial health of a company. It helps investors understand how much cash is available to support the company's operations or pursue investment opportunities on a per-share basis.

A metric that represents the amount of free cash flow generated by a company for each outstanding share of its common stock. It helps investors assess how much cash is available on a per-share basis after accounting for capital expenditures.

A metric that represents the amount of cash generated from a company's core operating activities for each outstanding share of its common stock. It provides insight into the cash-generating capability of a company's primary business operations on a per-share basis. It is used by investors to evaluate the company's ability to generate cash from its core activities and support its ongoing business.