Financial Ratio Analysis
Master the art of analyzing stocks using financial ratios. Learn to evaluate company valuations, profitability, financial health, and operational efficiency. This comprehensive course covers over 50 essential ratios used by professional analysts to assess stock pricing and company performance across all major industries.
Course Content
Ratio Analysis Fundamentals
Build a strong foundation in financial ratio analysis. Learn why ratios matter, the five categories of financial ratios, where to find data, and common pitfalls to avoid when analyzing stocks.
Valuation Ratios - Pricing a Stock
Master the essential valuation ratios used to determine if a stock is overpriced or undervalued. Learn P/E, P/B, P/S, Enterprise Value metrics, and cash flow-based valuation approaches.
Profitability Ratios - Measuring Performance
Learn to assess company profitability through margin analysis, return metrics, and the DuPont framework. Understand ROE, ROA, ROIC, and how to compare profitability across industries.
Financial Strength Ratios
Evaluate a company's financial health through liquidity and leverage ratios. Learn to assess short-term solvency, debt levels, interest coverage, and overall financial risk.
Efficiency and Growth Metrics
Analyze operational efficiency and growth sustainability. Master turnover ratios, the cash conversion cycle, growth metrics, and dividend analysis for comprehensive stock evaluation.
Integrated Ratio Analysis
Put it all together with a complete ratio analysis framework. Build your own ratio dashboard, learn trend analysis and benchmarking, understand industry-specific guidelines, and work through a comprehensive case study.