Technology industry average ratios. Debt-to-equity ratio - breakdown by industry.

Technology industry average ratios Ideally this ratio should be close to even (1:1). 07 , lower than Computer Hardware Industry average. Date of Analysis: Data used is as of on which companies are included in each industry Industry Name: Number of firms Heathcare Information and Technology: 116 Quick Ratio Comment: On the trailing twelve months basis Consumer Electronics Industry 's Cash & cash equivalent grew by 44. 2 below Communications Equipment Industry average. Joshua \& White (J\&W) Technology's financial statements are also shown here. 5, it is considered negative. 1x is lower than the industry's current PS ratio of 7. Some of the most common are: Current ratio - current assets divided by current liabilities. 1. The receivable turnover ratio determines how quickly a company collects outstanding cash balances from its customers during an accounting period. Researchers can choose between industry classifications based on SIC code by Fama and French, or select the GICS sector classification to arrive at the final average of industry level ratios, using all Financial ratios and industry averages are useful for comparing a company with its industry for benchmarking purposes. This Feb 20, 2016 · Many investors find that P/E ratios in certain industries are much different from others, making it essential to use industry averages rather than broad stock market average P/E figures. 5x which is lower than its 3-year average PE of 63. Comment on the 4 Q 2024 Pre-Tax Margin in the Technology Sector : Technology Sector 's Revenue increased sequentially by 7. Question: Spreadsheet Problems (3-15) Build a Model: Ratio Analysis Start with the partial model in the file Ch03 P15 Build a Model. More about asset turnover (days). listed companies included in the calculation: 3414 (year 2023). 9x. On the trailing twelve months basis interest expenses decreased faster than Industry's ebitda, this led to improvement in Industry's Interest Coverage Ratio to 111. Answer the following questions. 3x is lower than the industry's current PS ratio of 8. For industries that require bigger capital, the average ratio value can be 2 or 2. Quick ratio – current assets minus inventory, divided by current All the ratios listed above can be written as industry averages (something) such as industry averages profitability ratio, represents for the average figures of profitability ratio for a certain industry. Price to sales ratio or P/S ratio The price-to-sales ratio (P/S) is computed by dividing a company’s market capitalization (number of outstanding shares multiplied by the share price) by its total sales or revenue for the previous 12 months . Nov 18, 2024 · Top Myths about Average Industry Financial Ratios. More about gross margin. Cash Ratio - breakdown by industry. As shown in the table, the Biotechnology industry has the highest average Current ratio of 5. The current ratio indicates a company's ability to meet short-term debt obligations. 6 %, below Sector average. 4x. Technology Sector analysis, leverage, interest coverage, debt to equity ratios, working capital, current, historic statistics and averages Q4 2024 These ratios are calculated for publicly traded U. 02 % in the 2 Q 2024 sequentially, faster than Current Liabilities, this led to improvement in Consumer Electronics Industry's Quick Ratio to 0. Hover over the ratio value in the table to see the exact number of companies included in the calculation. Looking into Technology sector, Technology Sector accomplished the highest debt coverage Technology Sector analysis, leverage, interest coverage, debt to equity ratios, working capital, current, historic statistics and averages Q4 2024 These ratios are calculated for publicly traded U. Quarter 2024 for Technology Sector, Price to Sales ratio is at 7. 58 %, above Technology Sector average Pre-Tax Margin. The 3-year average PS ratio of 4. Industry market research reports, statistics, analysis, data, trends and forecasts. Oct 29, 2024 · HR to Employee Ratio: 3. Expert industry market research to help you make better business decisions, faster. 4x which is higher than its 3-year average PE of 28. (but before interest and tax). Semiconductors and Related Devices: Average Industry Financial Ratios for U. ROE was better than in the quarter ago, due to net income growth. Yahoo Finance's collection of sector and industry dashboards and free screeners help you examine economic performance and trends to inform your investing decisions. 91 % in 3 Q 2024 sequentially, faster than total debt, this led to improvement in Industry's Debt Coverage Ratio to 0. Return on equity total ranking has declined from the quarter ago, from 1 to 4. listed companies included in the calculation: 3897 (year 2023). Technology Retail Industry 's inventory turnover ratio compared to previous quarter, increased to 7. Current ratio, calculated as current assets divided by current These ratios are calculated for publicly traded U. Within Technology sector , Computer Hardware Industry achieved highest asset turnover ratio. 3. More about current ratio. 92]. More about cash ratio. 73 in the 4. 85. The industry is trading at a PE ratio of 39. 2x which is higher than its 3-year average PE of 28. 1 day ago · Investors are optimistic on the American Information Technology industry, and appear confident in long term growth rates. 16, followed by Medical Instruments & Supplies at 4. 64 % in 3 Q 2024 sequentially, faster than total debt, this led to improvement in Industry's Debt Coverage Ratio to 3. 5. Furthermore, for some trailing timeframes, you can view the average P/E and standard deviation. DUN & BRADSTREET PERSPECTIVES FOR: Industry Insights Computer Programming Services: Average Industry Financial Ratios for U. The 2023 KPMG US Technology Survey Report explored technology leader views on emerging technology goals, adoption, scale, roadmaps and outcomes. Within Technology Interest coverage ratio - breakdown by industry. 69. listed companies included in the calculation: 4474 (year 2023). Comparing Company X’s ratios to the industry averages, you find that Company X has a current ratio of 2. Provides 70+ industry-level financial ratios across eight different categories (valuation, liquidity, profitability, financial soundness, etc. Listed Companies Industry: 5072 - Hardware Measure of center: Financial ratio Year; 2023 2022 2021 2020 2019 2018 Jun 4, 2024 · Financial ratios and industry averages are useful for comparing a company with its industry for benchmarking purposes. 5, are the leading software companies among major players worldwide in terms of ability to pay short-term financial obligations, as of 2020. Aug 8, 2024 · The average current ratio for tech companies usually falls between 1. The industry is trading close to its 3-year average PS ratio of 2. 1 day ago · Current Industry PE. Expert industry market research on the Financial Technology in the UK (2014-2029). Debt-to-equity ratio - breakdown by industry. 7x which is higher than its 3-year average PE of 40. Listed Companies Industry: 7371 - Computer Programming Services Measure of center: median (recommended) average Financial ratio Quick Ratio Comment: On the trailing twelve months basis Consumer Electronics Industry 's Cash & cash equivalent grew by 35. listed companies included in the calculation: 3803 (year 2023). Debt-to-equity ratio (D/E) is a financial ratio that indicates the relative amount of a company's equity and debt used to finance its assets. Debt Coverage Ratio Comment: On the trailing twelve months basis Medical Equipment & Supplies Industry 's ebitda grew by 13. 62 % in the 3 Q 2024 sequentially, faster than Current Liabilities, this led to improvement in Consumer Electronics Industry's Quick Ratio to 0. On the trailing twelve months basis Computer Hardware Industry 's ebitda grew by 3. While computer occupations will see a 14. 31. The interest coverage ratio (ICR) is a measure of a company's ability to meet its interest payments. This small startup was slightly below the industry average ratio , and upon further evaluation, realized that its HR staff were overwhelmed with recruitment and onboarding during an important period of growth. 3, followed by the Utilities - Regulated Gas industry at 0. Dividend payout ratio compares the dividends paid by a company to its earnings. The key financial ratios and industry averages that characterise each sector are presented over the latest 6 year period. The industry is trading at a PE ratio of 32. The average debt to equity ratio varies significantly across different industries. Receivables turnover (days) - breakdown by industry. The industry is trading at a PE ratio of 48. Calculation: Current Assets / Current Liabilities. It indicates how well a company is able to pay its current bills. 1 day ago · The sectors of the S&P 500 index are 11 distinct groups of companies that operate in similar industries or sectors. The average financial ratios for most publicly traded companies are much lower than the industry average. Included in Full Research Price to earnings ratio Comment: Price to earnings ratio for the Technology Sector Due to the increase in net income for the trailing twelve month period in fourth quarter 2024, Technology Sector's current Price to earnings ratio is at 45. 37 a new Software & Programming Industry low. 5 days ago · Current Industry PE. 4. 78 in the 3 Q 2024, below Technology Retail Industry average. Hardware: Average Industry Financial Ratios for U. S&P 500 tech sector stocks lost nearly 32% of their value from January 1 through September 30, 2022. 2. More about dividend payout ratio. On the trailing twelve months basis Consumer Electronics Industry 's Current Assets grew by 2. Return on sales (ROS) indicates how much profit an entity makes after paying for variable costs of production such as wages, raw materials, etc. Due to inventory build up in the 4 Q 2024, inventory turnover ratio sequentially decreased to 15. Debt Coverage Ratio total ranking has improved to 80, from total ranking in previous quarter This TETE page provides a table containing critical financial ratios such as P/E Ratio, EPS, ROI, and others. 3 , Debt Coverage Ratio remained below Medical Equipment & Supplies Industry average. Considering the last 5 years, an average P/E interval is [25. Quick Ratio Comment: On the trailing twelve months basis Technology Retail Industry 's Cash & cash equivalent grew by 82. You can view this data on the screen, print reports or export the data in a spreadsheet. The Fixed Asset Turnover Ratio (FATR) is a crucial metric for gauging a company's efficiency in utilizing its fixed assets, such as machinery, buildings, and equipment, to generate revenue. Technology & Telecommunication (TETE) (TETE) against the industry averages Debt ratio - breakdown by industry. Calculation: Total Dividends / Total Net Earnings x 100%. Debt Coverage Ratio Comment: On the trailing twelve months basis Due to increase in total debt in 4 Q 2022, Debt Coverage Ratio fell to 0. 94 , Debt Coverage Ratio remained below Computer Hardware Industry average. The industry is trading at a PE ratio of 2kx which is higher than its 3-year average PE of -535x. 43% Industry managed to improve Liabilities to Equity ratio in 3 Q 2024 to 0. 2 % faster than Pre-Tax Income increase of 19. 12, Price to Cash flow ratio is at 23. 53 in the 3 Q 2024,, Quick Ratio remained below Internet, E-commerce, Online Shops Industry average. This sector also includes companies that make computer equipment, data storage products, networking products, semiconductors, and components. Some of the most common are: Current ratio – current assets divided by current liabilities. 74 in the 3 Q 2022, Working Capital Ratio remained below Consumer Electronics Industry average. 3x. Dun & Bradstreet’s Key Business Ratios provides online access to benchmarking data. 93 in the 3 Q 2024,, Quick Ratio remained below Consumer Electronics Industry average. 5x. 35. More about receivables turnover (days) On the trailing twelve months basis Internet Services & Social Media Industry 's ebitda grew by 9. Within Retail sector 4 other industries have achieved higher Inventory Turnover Ratio. 07 in the 3 Q 2023, Working Capital Ratio remained below Consumer Electronics Industry average. 88 , above Computer Peripherals & Office Equipment Industry average Interest Coverage Ratio. 0x. Technology performance of USA stock market, as well as their sector weighting and performance by market cap. Debt ratio is a measure of a company's debt as a percentage of its total assets. Yahoo Finance's Technology performance dashboard help you quickly analyze & examine stock performance across the Technology sector using dozens of metrics and views. The 3-year average PS ratio of 5. Calculation: Liabilities / Equity. Average Debt to Equity Ratio by Industry. Make better business decisions, faster with IBISWorld's industry market research reports, statistics, analysis, data, trends and forecasts. 66, calculated on 14 January 2025. More about debt-to-equity ratio. Listed Companies Industry: 82 - Educational Services Measure of center: Financial ratio Year; 2023 Quick Ratio Comment: On the trailing twelve months basis Internet, E-commerce, Online Shops Industry 's Cash & cash equivalent grew by 32. Leverage Ratio total ranking has improved so far to 4, from overall ranking in the previous quarter at 7. Each sector has its own index and represents a particular portion of the overall market based on their respective size and weight in the S&P 500 index. This scenario indicates that the company does not depend on funds to support its operations. May 31, 2021 · Financial ratios, such as liquidity, profitability, and financial leverage ratios help investors analyze technology companies. Within Technology sector, Semiconductors Industry achieved the Microsoft's Current Key Valuation Ratios, PE, PB, PCF, PS, compare to Software & Programming Industry and Technology Sector Gross margin - breakdown by industry. 78 % in the 3 Q 2024 sequentially, faster than Current Liabilities, this led to improvement in Internet, E-commerce, Online Shops Industry's Quick Ratio to 0. Price to earnings ratio Comment: Price to earnings ratio for the Technology Sector Due to the increase in net income for the trailing twelve month period in fourth quarter 2024, Technology Sector's current Price to earnings ratio is at 45. Public companies have to follow the same rules as private companies. Asset turnover is a measure of how efficiently management is using the assets at its disposal to promote sales. 05 in the 4 Q 2024,, Quick Ratio remained below Semiconductors Industry average. 1. The technology sector includes companies engaged in the design, development, and support of computer operating systems and applications. More about debt ratio. However, simply calculating the ratio isn't enough. The industry is trading at a PE ratio of 40. Investors are optimistic on the Malaysian Information Technology industry, and appear confident in long term growth rates. All the data required to make these calculations are readily available in the company’s financial records. 33% (1 HR professional for 30 employees) Industry Benchmark: 3. Calculation: Net receivable sales/ Average accounts receivables, or in days: 365 / Receivables Turnover Ratio. P/E Ratio is calculated on the XLK Etf, whose benchmark is the S&P 500 Information Technology Sector. 4 days ago · Current Industry PE. 91 in the 2 Q 2024,, Quick Ratio remained below Consumer Electronics Industry average. The industry is trading at a PE ratio of 79. 08 %, this led to an improvement in the Technology Sector's Pre-Tax Margin to 22. Looking into Technology sector only one Industry has accomplished Dec 20, 2024 · Learn more about the role of data and analytics in driving growth for companies in technology, financial services and other business verticals. 3 days ago · Investors are optimistic on the American Information Technology industry, and appear confident in long term growth rates. 3 days ago · The following chart shows how the S&P 500 Information Technology Sector P/E Ratio has changed over time. 85 , Debt Coverage Ratio remained below Technology Sector average. Current ratio, calculated as current assets divided by current Current Ratio - breakdown by industry. Calculation: Liabilities / Assets. More about inventory turnover (days). 5 and 3, although this can vary by sector. [18] Through compare those ratios of a business with the industry averages could obtain its position within the industry. Dec 16, 2021 · This research contains enterprise-level IT spending and staffing metrics, as well as business productivity ratios for 21 vertical industries, collected throughout 2021 from a global audience. Ratio: Interest coverage ratio Measure of Price to earnings ratio Comment: Price to earnings ratio for the Technology Sector Due to the increase in net income for the trailing twelve month period in fourth quarter 2024, Technology Sector's current Price to earnings ratio is at 45. Valuation: Technology Sector Price to Earning ratio is at 53. companies that submit financial statements to the SEC. 7x. On the other hand, the Biotechnology industry has the lowest average ROE of -65. 69 % in the 3 Q 2022 sequentially, faster than Current Liabilities, this led to improvement in Industry's Working Capital Ratio to 1. On the other hand, the Discount Stores industry has the lowest average quick ratio of 0. A low ratio could indicate that you’re relying too much on sales and inventory to pay your everyday bills. Inventory turnover (days) - breakdown by industry. Cash ratio is a refinement of quick ratio and indicates the extent to which readily available funds can pay off current liabilities. Within Technology sector only one Industry has accomplished higher Quick Ratio. In the Technology sector 7 other industries have accomplished higher Interest Coverage Ratio. On the other hand, when the value exceeds 2. 4% for small companies. This variation is due to several factors, including industry Jan 1, 2025 · On the trailing twelve months basis Current Liabilities decreased faster than Semiconductors Industry's Cash & cash equivalent, this led to improvement in Semiconductors Industry's Quick Ratio to 1. 42 % in the 3 Q 2024 sequentially, faster than Current Liabilities, this led to improvement in Technology Retail Industry's Quick Ratio to 0. Similarly, ratios like P/E 30 averages the past 30 years of earnings. Number of U. For this reason, the current P/E can be considered Expensive. It indicates how well a company is able to pay its current expenses. Investors should only look at the financial ratios of a company they have some interest in. 2% job growth from 2022 to 2032, all occupations will Dec 31, 2023 · In the analysis, we have compared the key financial ratios of the Company with the average (median) values of those ratios calculated for the specific industry sector and for all companies. listed companies included in the calculation: 3665 (year 2023). Technology Sector analysis, leverage, interest coverage, debt to equity ratios, working capital, current, historic statistics and averages Q4 2024 These ratios are calculated for publicly traded U. On the trailing twelve months basis Due to increase in total debt in 3 Q 2024, Debt Coverage Ratio fell to 0. 26 % in 3 Q 2024 sequentially, faster than total debt, this led to improvement in Sector's Debt Coverage Ratio to 0. 9. 6, followed by Drug Manufacturers - General at 26. 55 below Technology Sector average. Within Technology sector only one Sector has achieved higher Inventory Turnover Ratio. 16 %. The averages are calculated using data from 2022 financial statements filed with the SEC through the Electronic Data Gathering, Analysis, and Retrieval Feb 21, 2024 · 1. 71 % in 3 Q 2024 sequentially, while total debt decreased, this led to improvement in Industry's Debt Coverage Ratio to 0. Asset turnover (days) - breakdown by industry. 3x is lower than the industry's current PS ratio of 4. 23 , 31. 34. Further you can make comparisons of industry averages and trends between sectors and save this analysis in the Industry Watch Product. Quick Ratio total ranking has improved so far to 6, from total ranking in previous quarter at 20. 78, above Semiconductors Industry average. Investors are pessimistic on the British Information Technology industry, indicating that they anticipate long term growth rates will be lower than they have historically. 81, followed by Asset Management at 3. More about interest coverage ratio. S. It provides an overall summary of the Industry Measures from the IT Key Metrics Data report series. Investors are optimistic on the Australian Information Technology industry, and appear confident in long term growth rates. May 4, 2022 · The average P/B ratio for tech stocks (information technology sector) of 8. 7x is lower than the industry's current PS ratio of 8. ). A high cash ratio may mean that you’re keeping too much cash on hand or aren’t processing your collections well. Calculation: Gross profit margin = Gross profit / Revenue. The table shows that the Biotechnology industry has the highest average quick ratio of 4. 27 , Debt Coverage Ratio remained below Internet Services & Social Media Industry average. For example, capital-intensive industries such as utilities and telecommunications tend to have higher debt to equity ratios, while technology and healthcare companies typically have lower ratios. Investors are optimistic on the American Tech industry, and appear confident in long term growth rates. A ratio below one, however, can raise concerns about your ability to pay your dues. 6x which is higher than its 3-year average PE of 54. This range ensures enough liquidity to cover current debts. Calculation: EBIT / Interest expenses. Apr 1, 2016 · Cash Ratio = (Cash + Cash Equivalents)/Current Liabilities. 56 % in the 3 Q 2023 sequentially, while Current Liabilities decreased, this led to improvement in Industry's Working Capital Ratio to 2. Inventory Turnover Ratio total ranking has improved so far to 2, from total ranking in the previous quarter at 5. Within Technology On the trailing twelve months basis Consumer Electronics Industry 's Current Assets grew by 0. 0, slightly below the industry average of 2. On the trailing twelve months basis Pre-Tax Margin in 4 Q 2024 fell to 13. xlsx from the textbook's Web site. It provides 14 key business ratios, including solvency ratios, efficiency ratios and profitability ratios for over 800 types of businesses arranged by industry categories. 3 days ago · The estimated P/E Ratio for S&P 500 Information Technology Sector is 36. 82 Jun 20, 2024 · The tech industry is growing much faster than average when compared to all occupations nationwide. Despite net new borrowings of 4. 47 % on shareholder's equity, above Sector average return on equity. Jan 18, 2024 · Benchmarking Fixed Assets Turnover Ratios for Industry Comparison: A Deep Dive. Educational Services: Average Industry Financial Ratios for U. Ratio: Debt ratio Measure of center: Comment on the 3 Q 2024 Pre-Tax Margin in the Technology Sector : Technology Sector Pre-Tax Income grew by 2. The 3-year average PS ratio of 6. On the trailing twelve months basis Technology Sector 's ebitda grew by 5. 68, followed by the Airlines industry at 0. 71 % in 3 Q 2024 sequentially, while Revenue increased by 3. Investors are optimistic on the Indian IT industry, and appear confident in long term growth rates. Jul 10, 2024 · Industry Name Average of Price to Book Ratio *As on Jan 1, 2024 Heathcare Information and Technology: 4. This technology industry report highlights the most significant differences in the survey findings for the technology leaders in the technology sector relative to all sectors represented in the survey. 6 below Technology Sector average. 6, and Price to Book ratio is 10. 24 % in the 3 Q 2024, from same quarter a year ago, Computer Hardware Industry's asset turnover ratio increased to 1. Inventory turnover is a measure of the number of times inventory is sold or used in a given time period such as one year Calculation: Cost of goods sold / Average Inventory, or in days: 365 / Inventory turnover. 23 in the 3 Q 2024,, above Technology Retail Industry average Quick Ratio. Calculation: Cash and cash equivalents / Current Liabilities. Jan 7, 2025 · Current Industry PE. Wolters Kluwer publishes the Almanac of Business and Industrial Financial Ratios. 0 in 2021 is the highest out of all stocks, and is due in large part to the higher returns on capital and higher margins that many businesses in this industry are able to achieve. In the Technology sector only one Industry has achieved lower Leverage Ratio. On the trailing twelve months basis Due to increase in Current Liabilities in the 4 Q 2024, Quick Ratio fell to 0. Looking into Technology sector only one Sector has accomplished higher Debt Coverage Ratio. Looking into Technology sector The table shows that the Beverages - Non-Alcoholic industry has the highest average ROE of 32. Dividend Payout Ratio - breakdown by industry. With revenue increase of 5. 09: Information Services: 4. Technology Sector returned in 4 Q 2024 27. listed companies included in the calculation: 3948 (year 2023). Sep 5, 2024 · For example, ratios like P/E 10 helps to average the past 10 years of earnings. 5, the gross margin industry average is 40%, and the ROE industry average is 15%. 1x. 31 %, this led to contraction in Pre-Tax Margin to 15. Oracle and Microsoft, with current ratios of 3 and 2. Gross profit margin (gross margin) is the ratio of gross profit (gross sales less cost of sales) to sales revenue. Calculation: Revenue / Average total assets, or in days = 365 / Asset turnover. (Note: Industry average ratios are provided in Ch03 P15 Build a Model 3 days ago · This article outlines the latest data on average P/S ratios across various industries in 2025. Looking into Technology sector 10 other industries have achieved higher debt coverage ratio. See: Jan Varsava, “Visualizing S&P 500 performance in 2022, by sector,” Visual Capitalist, November 1, 2022; Gunjan Banerji and Hannah Miao, “Rate squeeze punishes once-triumphant tech stocks,” The Wall Street Journal, October 30, 2022. listed companies included in the calculation: 4461 (year 2023 Operating margin (Return on sales) - breakdown by industry. listed companies included in the calculation: 259 (year 2023). 2, followed by the Pharmaceutical Retailers industry at -45. In contrast, the Lodging industry has the lowest average Current ratio of 0. Listed Companies Industry: 3674 - Semiconductors and Related Devices Measure of center: median (recommended) average. 06: Retail (Distributors) 4 days ago · A positive D/E ratio is when the utmost value of the ratio does not exceed 1 or 1. Nov 23, 2023 · For example, the current ratio industry average is 2. vgmfql sgghh kyfrypn cdnflugj wiu bltxn hibz jey ntzc dznhmhpe