What is Debt-to-Equity Ratio?
Debt-to-Equity Ratio (also called d/e ratio) — A company’s total debt divided by shareholders’ equity — a measure of financial leverage and risk.
In simple terms
A high debt-to-equity ratio means a company relies heavily on borrowing.
Why Debt-to-Equity Ratio matters when you invest
Understanding debt-to-equity ratio helps you make better-informed decisions when you invest and trade on ROAR by DP TradeKING. Open a free account to put it into practice — ₹0 delivery brokerage and zero-commission direct mutual funds.
Debt-to-Equity Ratio — frequently asked questions
What is Debt-to-Equity Ratio?
A company’s total debt divided by shareholders’ equity — a measure of financial leverage and risk.
What does Debt-to-Equity Ratio mean in the stock market?
A company’s total debt divided by shareholders’ equity — a measure of financial leverage and risk. A high debt-to-equity ratio means a company relies heavily on borrowing.
Can you give an example of Debt-to-Equity Ratio?
A high debt-to-equity ratio means a company relies heavily on borrowing.
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