Investing is really about one thing, and one thing only: the ability to participate alongside the profit generating ability of a business. With profits at the very foundation of investing, it means ...

Profitability ratios can help investors and analysts compare the financial efficiency of competing companies. People are often advised to do “the best they can with what they have,” and the same goes ...

Businesses often use profitability ratios to gauge their performance against industry benchmarks or competitors. Calculating ...

Learn about gross, operating, and net profit margins, how each is calculated, and how businesses and investors can use them ...

To determine the profitability of banks, simply looking at the earnings per share isn't quite enough. It's also important to know how efficiently a bank is using its assets and equity to generate ...

Look for high profitability ratios to identify companies efficiently turning revenue into profits. Analyze margin and return ratios to assess how well a company manages its costs and assets. Compare ...

Opinions expressed by Entrepreneur contributors are their own. Being an entrepreneur for more than 30 years has taught me how important it is to track data about my business. But, I didn’t always take ...