What is Debt-to-Equity (D/E) Ratio?
5paisa Research Team
Last Updated: 27 Mar, 2025 11:37 AM IST

Content
- Introduction
- What is the Debt-to-Equity (D/E) Ratio?
- D/E Formula and Calculation
- How to calculate the D/E ratio in Excel
- What does the D/E ratio tell you?
- Example of the D/E Ratio
- Modifying the D/E Ratio
- The D/E Ratio for Personal Finances
- Limitations of the D/E ratio
- What is a good Debt-to-Equity (D/E) ratio?
- What does a Debt-to-Equity (D/E) ratio of 1.5 indicate?
Introduction
The fundamental analysis becomes crucial before investing in a security. It typically includes analyzing the financial position of a company using various metrics. One metric that helps investors make an informed decision is a debt-to-equity ratio.
In this article, you will learn what is a debt-to-equity ratio in detail.
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