Explore the significance of the debt-to-equity ratio in assessing a company's risk. Learn calculations, industry standards, and business implications.

The debt-to-equity ratio is calculated by dividing a corporation's total liabilities by its shareholder equity. The optimal D/E ratio varies by industry, but it should not be above a level of 2.0 ...

Learn about our editorial policies The debt-to-equity (D/E) ratio is a leverage ratio that shows how much a company's financing comes from debt or equity. A higher D/E ratio means that more of a ...

The debt-to-equity ratio is the metabolic typing equivalent for businesses. It can tell you what type of funding – debt or equity – a business primarily runs on. "Observing a company's capital ...

The study of a company’s optimal capital structure dates back ... Perhaps the most frequently-used one is the debt-to-equity ratio, which measures a company's debt relative to its shareholder's ...