Average Equity (Historical) Formula in Excel

Understanding Average Equity (Historical)

The Average Equity (Historical) formula in Excel with MarketXLS helps you analyze a company’s shareholder equity trends over specified periods—annual, quarterly, or trailing twelve months (TTM). Tracking average equity enables investors and analysts to:

• Assess long-term changes in shareholder wealth.
• Evaluate payout and capital allocation decisions.
• Compare equity levels across companies and industries.

? Pro Tip: Use historical average equity alongside other fundamental metrics like revenue, gross profit, and R&D expenses to form a comprehensive view of a company's financial health.

Syntax and Parameters

=hf_Average_Equity(Symbol, year, [quarter], [TTM])

When successful, the function returns a numeric value representing the average shareholder equity for the specified period. If the symbol is invalid or data is unavailable, the function returns "NA".

?? Note: This function requires a valid MarketXLS data subscription that includes historical fundamental data.

Examples and Usage

Below are practical ways to call the hf_Average_Equity function in Excel:

1. Specify a symbol and a year:

   =hf_Average_Equity("MSFT", 2022)

   Returns the average equity for Microsoft in the year 2022.

2. Use quarters for targeted periods:

   =hf_Average_Equity("MSFT", 2022, 2)

   Retrieves the average equity for Microsoft in the second calendar quarter of 2022.

3. Include trailing twelve months:

   =hf_Average_Equity("MSFT", 2022, 3, "TTM")

   References the average equity up to the third quarter of 2022 over the trailing twelve months.

4. Apply relative periods for convenience:

   • Last quarter example:

     =hf_Average_Equity("MSFT", "lq")

   • Last quarter minus one:

     =hf_Average_Equity("MSFT", "lq-1")

   • Last year example:

     =hf_Average_Equity("MSFT", "ly")

   • Last 12 months:

     =hf_Average_Equity("MSFT", "lt")

   These shortcuts help you access the most recent data without manually updating the year.

? Pro Tip: Combine hf_Average_Equity with other historical metrics like revenue and gross profit to gauge how well a company is utilizing its equity over time.

Common Questions

1. What if the function returns "NA"?

This typically means one of the following:

• The Symbol is invalid or not recognized.
• Data for the specified period is unavailable.
• Your MarketXLS plan does not support historical fundamental data.

2. Can I reference cell values for inputs?

Yes. For instance, if cell A1 contains "MSFT" and cell A2 contains 2023, you can use:

=hf_Average_Equity(A1, A2)

3. Does the function accept different security types (options and crypto)?

Yes. You can use indices like "^SPX," options like "@MSFT 110122C00020000," or cryptocurrencies like "BTCUSD:DEFAULT" with the same syntax.

4. How can I speed up calculations in larger spreadsheets?

• Use fewer volatile functions to reduce recalculation overhead.
• Consider referencing a single output cell rather than calling the function repeatedly.
• Ensure your subscription plan offers sufficient data caching.

?? Note: Historical data lookups can take longer than current data lookups due to the complexity of retrieving archival data points.