📊 Warren Buffett Financial Ratio Checker

Evaluate investment quality using Warren Buffett's investment criteria

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Important Disclaimer

This tool is based on Warren Buffett's general investment principles and is for educational purposes only. It should not be considered as financial advice. Always conduct thorough due diligence before making investment decisions. Industry-specific factors may affect the interpretation of certain ratios, and market conditions and company-specific circumstances should also be considered. This analysis is a starting point for further research, not a definitive investment recommendation.

About This Tool

This tool evaluates companies based on Warren Buffett's investment principles. Enter the financial ratios below, and we'll analyze whether the company meets Buffett's criteria for a quality investment. The analysis considers factors like profitability, debt levels, valuation, and financial stability.

"It's far better to buy a wonderful company at a fair price than a fair company at a wonderful price."

— Warren Buffett

Warren Buffett Financial Ratio Evaluation Framework

Enter the stock ticker symbol or company name (e.g., AAPL, MSFT, Apple Inc.)

Return on Equity (ROE)

Pending

Measures how effectively a company uses shareholders' equity. Buffett prefers companies with ROE consistently above 15%.

Debt-to-Equity Ratio

Pending

Lower debt means less financial risk. Buffett prefers companies with debt-to-equity ratio below 0.5.

Current Ratio

Pending

Measures short-term liquidity. A ratio above 1.5 indicates good ability to cover short-term obligations.

Net Profit Margin

Pending

Shows how much profit a company makes per dollar of revenue. Higher and consistent margins are preferred.

Price-to-Earnings (P/E) Ratio

Pending

Lower P/E ratios may indicate better value. Buffett prefers P/E ratios below 20, though this varies by industry.

Price-to-Book (P/B) Ratio

Pending

Compares market value to book value. A P/B ratio below 3 is generally considered reasonable.

Earnings Growth Rate

Pending

Consistent earnings growth indicates a strong business. Buffett looks for steady, predictable growth.

Free Cash Flow

Pending

Positive and growing free cash flow indicates financial health and ability to reinvest or return capital to shareholders.