Financial ratios are great when it comes to investment. These ratios are useful in calculating several attributes of an investor. We know that most people with an investor's eye look for return than value. Because money is luring.
While investing, it is advised to take a look at the asset through the different financial spectrum. We can't track the everyday activities of the companies. Some companies make a lot of money with little expense and others make losses from it. Even the performance of management decides the performance of the company. We cannot analyze each of these. But with the help of financial ratios, we can arrive at a solid conclusion for an investment.
Here number defines a lot of things than the words of the management team. They can fake you with fake words, but the number says everything.
Comments
Post a Comment