Will Kenton is an expert on the economy and investing laws and regulations. He previously held senior editorial roles at Investopedia and Kapitall Wire and holds a MA in Economics from The New School ...

Discover how efficiency ratios can boost profitability by effectively managing assets and liabilities. Learn methods to evaluate a company's operational efficiency.

Efficiency and operating ratios measure overheads as a percentage of operating revenues or fee income; in effect, they measure how efficiently a company is being operated. They are generally favored ...

This easy-to-calculate metric lies at the heart of successful bank stock investing. I've come to the opinion over the years that the efficiency ratio is the single most important metric for individual ...

Efficiency ratios have been worsening for two years, with a slump in noninterest income driving much of the deterioration. The amount of money banks have to spend-on salaries, on rent for branches and ...

As an individual investor, you’re constantly seeking insights into a company’s financial health and operational prowess. While revenue growth and net profit capture headlines, true strength often lies ...

Efficiency level measures a company’s capability to transform available input into output. It is often considered an important parameter for gauging a company’s potential to make profits. Companies ...

A mutual fund is an investment pool that allows you to invest in a diversified portfolio using far less money than if you had purchased shares individually. "Forbes" magazine suggests keeping several ...

Irrespective of market conditions, companies with favorable efficiency levels are more likely to be investors’ choices. The reason is that a company with a favorable efficiency level is expected to ...

A company's efficiency ratio is supposed to measure how well a bank is managed. But some experts consider the ratio less relevant as banks earn so much more from fee-based businesses. Bankers are ...

There are two ways a bank can cannibalize revenue and, by implication, shareholder return: They can underwrite bad loans and/or operate inefficiently — that is, to allow expenses to consume too much ...