Financial ratios cheat sheet

Every formula on the site, grouped by category, on one page you can print or save as a PDF. It is generated from the same definitions the calculators use, so it always matches them. Follow any name to its page for the explanation, a calculator and the sources.

Liquidity

Measure	Formula	Result
Current ratio	Current assets ÷ Current liabilities	Ratio (times)
Quick ratio	(Cash and cash equivalents + Short-term investments + Accounts receivable) ÷ Current liabilities	Ratio (times)
Variant: current assets minus inventory	(Current assets − Inventory) ÷ Current liabilities	Ratio (times)
Cash ratio	Cash and cash equivalents ÷ Current liabilities	Ratio (times)
Working capital (NWC)	Current assets − Current liabilities	Amount

Profitability

Measure	Formula	Result
Gross profit margin	Gross profit ÷ Revenue × 100	Percent
Variant: from revenue and cost of goods sold	(Revenue − Cost of goods sold) ÷ Revenue × 100	Percent
Operating profit margin	Operating income ÷ Revenue × 100	Percent
Net profit margin	Net income ÷ Revenue × 100	Percent
EBITDA margin	EBITDA ÷ Revenue × 100	Percent
Return on assets (ROA)	Net income ÷ Average total assets × 100	Percent
Return on equity (ROE)	Net income ÷ Average shareholders' equity × 100	Percent
Return on invested capital (ROIC)	Net operating profit after tax ÷ Average invested capital × 100	Percent
DuPont analysis	Net profit margin × Asset turnover × Equity multiplier × 100	Percent

Leverage

Measure	Formula	Result
Debt-to-equity ratio (D/E)	Total liabilities ÷ Shareholders' equity	Ratio (times)
Variant: interest-bearing debt only	Total debt ÷ Shareholders' equity	Ratio (times)
Debt-to-assets ratio	Total liabilities ÷ Total assets × 100	Percent
Interest coverage ratio (TIE, ICR)	Operating income ÷ Interest expense	Ratio (times)
Debt service coverage ratio (DSCR, DCR)	Net operating income (NOI) ÷ Annual debt service	Ratio (times)
Variant: business: EBITDA	EBITDA ÷ (Interest expense + Principal repayments)	Ratio (times)

Efficiency

Measure	Formula	Result
Asset turnover	Revenue ÷ Average total assets	Ratio (times)
Inventory turnover	Cost of goods sold ÷ Average inventory	Ratio (times)
Days sales outstanding (DSO)	Average accounts receivable ÷ Net credit sales × Days in period	Days
Days payable outstanding (DPO)	Average accounts payable ÷ Cost of goods sold × Days in period	Days
Cash conversion cycle (CCC)	Days inventory outstanding + Days sales outstanding − Days payable outstanding	Days
Variant: from financial statement figures	Days inventory outstanding + Days sales outstanding − Days payable outstanding	Days

Valuation

Measure	Formula	Result
Earnings per share (EPS)	(Net income − Preferred dividends) ÷ Weighted average common shares	Amount per share
Price-to-earnings ratio (P/E, PER)	Share price ÷ Earnings per share (EPS)	Ratio (times)
Price-to-book ratio (P/B)	Share price ÷ Book value per share	Ratio (times)
EV/EBITDA	Enterprise value ÷ EBITDA	Ratio (times)

Business calculators

Measure	Formula	Result
Margin	(Selling price − Cost) ÷ Selling price × 100	Percent
Markup	(Selling price − Cost) ÷ Cost × 100	Percent
Break-even point in units (BEP)	Fixed costs ÷ Contribution margin per unit	Units
EBITDA	Net income + Interest expense + Income tax expense + Depreciation + Amortization	Amount
Variant: from operating income (EBIT)	Operating income + Depreciation + Amortization	Amount

Average balances are (opening + closing) ÷ 2. Day-count measures use 365 days unless stated. Definitions follow the sources cited on each page; where sources differ, the page explains the variants.