proportionalitys can be calculated from the information shown on a companys financial statements. The trends shown over several periods can be go for to admit inferences about a companys finances, and operating efficiency. Financial ratios atomic number 18 not only used to make comparisons within a company, but also against other businesses in the same industry. This piece will focus on the financial ratios of Pfizer Inc. Pfizer Inc. discovers, develops, manufactures, and markets leading prescription(prenominal)(prenominal) medicines for humans and animals and many of the worlds best-known consumer brands (Pfizer, 2005). Pfizer is the manufacturer of prescription drugs such(prenominal) as Clebrex, Lipitor, Viagra, and Zoloft. Financial Ratios for Pfizer, Inc. from Mergent Online         2004         2003         2002 Profitability Ratios                         come about on honor %         16.6         2.51         46.02 come back on Assets %         9.16         1.4         19.81 Return on enthronization         181.71         90.51         344.33 gain delimitation         .086         .078         .088 Operating Margin %         28.11         15.21         36.07 Net Profit Margin         26.67         7.22         36.07 Liquidity Ratios                         Quick Ratio         1.13         .89         1.01 Current Ratio         1.5         1.26         1.34 working(a) Capita/Total Assets         .11         .05         .13 Debt Ratios                         Total Debt to ! Equity         .11         .09         .16 Long Term Debt to Assets         .
06         .05         .07 strength Ratios                         Total Assets/Revenue         2.4         2.6         1.4 Revenues/Working bang-up         3.97         7.43         5.2 The meaning of these ratios is as follows. Profitability ratios focus on the earnings of a firm. Return on equity is a measure of the put crosswise on shareho lders equity. Return on assets measures acquireability relative to hit assets. Return on assets shows what income was generated from the assets of the firm. Return on investment shows the profit or loss from investment in a firm. It is precedent from an investors standstill to have this value as high as possible. complete(a) margin shows the portion of each dollar earned... If you expect to establish a full essay, order it on our website:
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