Open Position Ratio: What it Means, How it Works, Example
This process called ratio analysis allows a company to gain better insights to how it is performing over time, against competition, and against internal goals. Ratio analysis is usually rooted heavily with financial metrics, though ratio analysis can be performed with non-financial data. Comparative ratio analysis can be used to understand how a company’s performance compares to similar companies in the same industry. For example, a company with a 10% gross profit margin may be in good financial shape if other companies in the interactive brokers forex review same sector have gross profit margins of 5%. However, if the majority […]