This ratio shows a company's profitability relative to the total revenue it produces. Here is how you can calculate it, as well as what it means. First, determine the business' net income ...
The risk-free rate of return is 4%. Knowing these numbers allows an investor to calculate the portfolio's Sharpe ratio: A Sharpe ratio of 1.1 is good, as it indicates a healthy risk-adjusted return.
A higher Sortino ratio can indicate a good return relative to the risk taken. The Sortino ratio focuses on downside volatility, while the Sharpe ratio considers both upside and downside volatility ...
"Therefore, a lower debt-to-equity ratio implies that equity holders have a greater chance of benefiting from growth in retained earnings over time and a lower risk of default." You can calculate ...