There’s only one reason why I continue to hold the majority of my portfolio in US stocks.
Reporting and transparency requirements by the SEC rocks.
Without it, calculating the below balance sheet ratios would be a nightmare.
The following list of ratios can be applied to both the public and private sector. At Old School Value, we apply these ratios to help discover undervalued stocks to invest in. It makes a big impact by helping you avoid falling knives and value traps.
Here we go.
Let’s get straight into the 20 balance sheet ratios to help you determine the financial health of a company.