Net debt to equity ratio

Dive into the net debt to equity ratio, a crucial metric used by credit analysts to assess a company's financial health and leverage levels. The net debt to equity ratio offers valuable insights into a company's ability to meet its debt obligations and manage financial leverage.

A higher ratio indicates more debt relative to equity, which could mean greater financial risk, especially during economic downturns. Conversely, a lower ratio suggests less leverage and potentially more financial stability.