Learn how to calculate operating cash flow margin, a vital indicator of earnings quality and efficiency, with a detailed formula and practical example.

Gross profit and gross margin show the profitability of a company when comparing revenue to the costs involved in production. Both metrics are derived from a company's income statement and share ...

Learn about gross, operating, and net profit margins, how each is calculated, and how businesses and investors can use them ...

Below is an example of the net income of Home Depot (NYSE: HD) from 2018 to 2020. The data show that the retailer’s operating margin held steady from 2018 to 2019 as costs were kept in check relative ...

A sales return occurs when your small business refunds a customer for a returned product. The effect of sales returns on your gross margin depends on the amount of the returns and the original cost to ...

A contribution margin allows you to determine the profit you generate from each individual product your business sells. The break-even point is the amount of revenue your business must generate to ...

A margin call occurs when the value of securities in a brokerage account falls below a certain level, known as the maintenance margin, requiring the account holder to deposit additional cash or ...

Understanding margin is crucial for anyone looking to succeed in the world of forex trading. "Margin" is one of the most important concepts in forex, acting as a form of leverage that allows traders ...

If you were to invest $10,000 in a good stock and get a 20 percent return, you’d make $2,000. But what if you could have borrowed another $10,000 to buy more stock and doubled your profits? When ...

Margin trading can be a high-risk, high-reward strategy for traders looking to borrow funds. Traders use margin to add leverage and improve capital efficiency while amplifying returns, though losses ...