Glossary

Investing and Financial Analysis Book of Reference

Ratios

• Current ratio
• Debt coverage ratio
• Debt ratio
• Debt to equity ratio (D/E)
• Dividend payout ratio
• EV/EBIT ratio
• EV/EBITDA ratio
• EV/sales ratio
• Equity multiplier
• Interest coverage ratio
• Inventory turnover ratio
• Net working capital
• Price to book ratio (P/B)
• Price to earnings ratio (P/E)
• Price to sales ratio (P/S)
• Quick ratio
• Retention ratio
• Return on assets (ROA)
• Return on capital employed (ROCE)
• Return on equity (ROE)
• Return on invested capital (ROIC)
• Return on sales (ROS)
• Solvency ratio

Metrics

• Book value per share
• Net debt
• Net profit margin
• Shareholders equity

Financial analysis

• Capital gains yield
• Contribution margin
• Payback period
• Present value
• Real rate of return
• Risk premium
• Total stock return
• Yield to maturity