EODHD Academy

Ratios & Company Health

Turn financial statements into judgement — profitability, liquidity, leverage, efficiency and the DuPont tree that ties them together.

4 units · 16 lessons · 59 min read · plus hands-on practice, at your pace

Start here

Why turn a big number into a ratio?

Profitability & Margins · 4 min read · practitioner

Start the first lesson

Unit 1 Profitability & Margins

  1. Why turn a big number into a ratio? 4 min
  2. What do gross, operating and net margin each tell you? 3 min
  3. Is a high profit margin always good? 3 min
  4. Return on what? Meet ROA and ROE 4 min
Practice Check · Unit 1 A short check · cannot be failed Start

Unit 2 Liquidity & Leverage

  1. Can this company pay its bills next year? 4 min
  2. What does it mean to say a company is "leveraged"? 3 min
  3. How much debt is too much? 4 min
  4. Why can a profitable company still run out of cash? 3 min
Practice Check · Unit 2 A short check · cannot be failed Start

Unit 3 Efficiency & the DuPont Tree

  1. How hard is a company working its assets? 3 min
  2. How fast does inventory and cash come back? 4 min
  3. Where does ROE actually come from? 4 min
  4. How do you compare two companies fairly? 4 min
Practice Check · Unit 3 A short check · cannot be failed Start

Unit 4 Reading Health Together

  1. What does a full health check look like? 4 min
  2. When the numbers lie — how is a picture painted? 6 min
  3. What can ratios never tell you? 3 min
  4. What have you actually learned to read? 3 min
Practice Check · Unit 4 A short check · cannot be failed Start

Last Course exam

One exam, the whole course Unlocks when you have read all 16 lessons

Passing it earns the course certificate. It also counts toward the Analyst track (course 2 of 8): pass every course exam in a track to earn its track certificate.