ROI is a simple metric to you discover your profitability. Every thriving business relies on a robust return on investment (ROI) to help gauge whether its investments are yielding a profit.

Return on Investment (ROI) Definition: A profitability measure that evaluates the performance of a business by dividing net profit by net worth Return on investment, or ROI, is the most common ...

Investors often focus myopically on earnings, but a company's balance sheet — its financial strength, is also key.

To illustrate, he uses the example of buying a pizza parlor for $100,000. If you only make $5,000 after expenses each year on your parlor, your return ... statement and balance sheet, both of ...

Reviewed by Gordon Scott Fact checked by Yarilet Perez Return on Equity (ROE) vs. Return on Capital (ROC): An Overview Return ...