Financial Modelling

Financial Modeling

Meaning of Financial ModelingFinancial modeling is the process conducted to create a financial representation of the entity. Through this financial model, the financial analyst… Read Article
Free Cash Flow

Free Cash Flow

Definition of Free Cash FlowFree Cash Flow (FCF) or Free Cash Flow to Firm (FCFF) forms a part of the working capital analysis of… Read Article
Cash Conversion Cycle

Cash Conversion Cycle

What is Cash Conversion Cycle?The Cash Conversion Cycle or CCC is the number of days a business entity takes to convert its input resources… Read Article
Capital Gearing Ratio

Capital Gearing Ratio

For understanding the meaning of the capital gearing ratio, we need to first understand the meaning of capital gearing. So, let us see what… Read Article
Operating Margin Ratio

Operating Margin Ratio

What is the Operating Margin Ratio?The operating margin ratio is the ratio of operating income to the revenue of the business. It highlights the… Read Article
Enterprise Value

Enterprise Value

What is Enterprise Value?Enterprise Value (EV) is the measure of the company’s total value. Instead of determining a firm’s value based on market capitalization… Read Article
Dividend per share

Dividend Per Share (DPS)

Dividend Per Share: DefinitionDividend per share (DPS) is the total dividend declared by the company divided by the total number of common outstanding shares.… Read Article
Sharpe Ratio

Sharpe Ratio

What is Sharpe Ratio?Sharpe Ratio is a measurement of the risk-adjusted return of a portfolio. The concept is named after William F. Sharpe of… Read Article
Contribution Margin

Contribution Margin

Contribution Margin: DefinitionIn a very simple language, contribution margin means the excess of selling price over the variable cost of manufacturing. This term has… Read Article
Ex dividend date

Ex-Dividend Date

To understand the concept of Ex-dividend date, we need to first understand the dividend payment timeline. Once the company’s board approves the dividend of… Read Article