Financial Ratios Cheat Sheet

Financial Ratios Cheat Sheet

CFI’s Financial Ratios cheat sheet is a pdf ebook, available for anyone to download for free. The cheat sheet goes over the essential financial ratios that a Financial Analyst uses to analyze a business. Below is an image of the Pyramid of Ratios, a common tool used by industry professionals to analyze a company’s efficiency, profitability, and solvency and to show how they are interconnected.

Pyramid of Ratios

Image: Pyramid of Ratios from CFI’s Financial Analysis Course

Free PDF Download – Financial Ratios Cheat Sheet

In this e-book you will find the following Financial Ratios:

Liquidity Ratios

• Current Ratio / Working Capital Ratio
• Quick Ratio / Acid Test Ratio
• Cash Ratio
• Times Interest Earned
• Capex to Operating Cash Ratio
• Defensive Interval Ratio
• Operating Cash Flow Ratio
• Times Interest Earned (Cash Basis) Ratio

Efficiency Ratios

• Accounts Receivable Turnover
• Accounts Receivable Days
• Asset Turnover Ratio
• Inventory Turnover Ratio
• Inventory Turnover Days (Day Sales in Inventory)
• Capex to Operating Cash Ratio

Leverage Ratios

• Debt to Equity Ratio
• Equity Ratio
• Debt Ratio

Financial Ratios Cheat Sheet – Profitability Ratios

• Gross Profit Margin Ratio
• Net Profit Margin
• Return on Assets (ROA)
• Return on Capital Employed (ROCE)
• Return on Equity (ROE)
• Operating Profit Margin

Multiples Valuation Ratios

• Price Earnings Ratio (P/E)
• EV/EBITDA Ratio
• EV/EBIT Ratio
• EV/Revenue Ratio

Financial Ratios Cheat Sheet – Use of Ratios in Financial Analysis

There are various types of financial analysis, and the use of ratios is an indispensable aspect of all of them. This cheat sheet is a concise and organized source of information on the essential ratios for financial analysis. It can be used as a quick reference to the information. Ratios are a powerful analytical tool for performing both cross-sectional and time-series analysis, as ratios can be compared across time periods and industries. It is also important, however, to be aware of the limitations of ratio analysis.

Additional Resources

Thank you for reading CFI’s guide to Financial Ratios Cheat Sheet. To learn more and advance your career, check out these additional free CFI resources:

• All CFI eBooks
• Financial Analysis Fundamentals
• Finance Interview Questions
• Financial Analysis Fundamentals Course
• See all accounting resources
• See all capital markets resources