fbpx

Equity ratio - key figures simply explained

The equity ratio describes the share of equity in the total capital (equity + debt) of a company.
Reading time: <1 minute

TransparentShare - equity ratio

Definition: equity ratio

The equity ratio describes the share of equity in the total capital (equity + debt) of a company.



Significance for the evaluation

The equity ratio is an indicator of a company's creditworthiness. A high equity ratio reduces the risk of insolvency and, conversely, means lower debt.

Calculation

Equity ratio = (equity / total capital) * 100

Rating

+1 point: equity ratio> 25%
0 points: Equity ratio between 15% and 25%
-1 point: equity ratio <15%

Other interesting articles:

Share post

Share on facebook
Share on twitter
Share on linkedin
Share on xing
Share on whatsapp
Share on email

The last posts

TransparentShare online meeting on January 26th, 2022 with Maximilian Gamperling

TransparentShare online meeting on January 26th, 2022 with Maximilian Gamperling

The stock exchange expert Maximilian Gamperling is a guest at our next online meeting on January 26th, 2022. He will…
The 10 best stock recommendations in 2021

The 10 best stock recommendations in 2021

The year 2021 was very successful for TransparentShare. We report on the 10 best stock picks…
11 top stock recommendations for 2022

11 top stock recommendations for 2022

Newsletter January 9, 2022: The year has already started very well with 11 new stock recommendations. ...

Simply find the cheapest depot!

Compare now without obligation and without specifying an email address and find the cheapest depot.

OnVista Bank - The new trading freedom

Test for 14 days

Ready to go in 30 seconds

* Without specifying a credit card

en_US