Total Debt To Equity Formula in Excel

The Total Debt To Equity formula in Excel with MarketXLS allows you to quickly measure how leveraged a company is by comparing its total debt to shareholders’ equity. This Excel function is particularly useful in evaluating a company's financial health before making investment decisions. Below, you’ll find practical usage tips, syntax details, and examples to get you started.

Understanding Total Debt To Equity

• Purpose: The Total Debt To Equity formula returns the ratio of a company’s total debt to its shareholders’ equity.
• Use Cases:
  • Evaluating a company’s financial leverage.
  • Comparing leverage across different companies.
  • Gaining insight into risk management strategies.
• Key Benefits:
  • Provides a quick snapshot of a company’s debt burden.
  • Useful for screening investment opportunities.

Syntax and Parameters

=TotalDebtToEquity(Symbol)

Return Value

• The function returns a numerical ratio indicating the total debt relative to the company’s shareholders’ equity.
• If the Symbol is invalid or the data is unavailable, the function returns "NA".

Error Handling

• Returns "NA" if the symbol is incorrect or unsupported.
• License validation failure also leads to a "NA" return.

?? Note: Ensure your MarketXLS license is valid to avoid receiving “NA” due to licensing issues.

Examples and Usage

Here are some common ways to use the Total Debt To Equity formula in Excel:

=TotalDebtToEquity("MSFT")
=TotalDebtToEquity("^SPX")
=TotalDebtToEquity("@MSFT 110122C00020000")
=TotalDebtToEquity("BTCUSD:DEFAULT")

• Basic Example:

  =TotalDebtToEquity("MSFT")

  This returns the total debt to equity ratio for Microsoft.

• Comparing Companies:

  =TotalDebtToEquity("AAPL")
  =TotalDebtToEquity("TSLA")

  Quickly compare leverage between Apple and Tesla.

? Pro Tip: Use this formula in combination with other MarketXLS Key Ratio formulas (like MarketCap, EPS, SharesOutstanding) for a holistic financial analysis.

Common Questions

1. What happens if I use an invalid ticker?
   You receive "NA". Double-check the ticker symbol and try again.

2. Why do I keep getting “NA” even with a valid symbol?

   • Ensure your MarketXLS license is active.
   • Check your internet connection, as the formula pulls data from MarketXLS servers.

3. Are there performance considerations when using Total Debt To Equity?

   • The function retrieves data from the web; a stable connection ensures faster performance.
   • Using the formula repeatedly across numerous cells can increase waiting times.

4. Does this function support international symbols or crypto tickers?
   Yes, you can use "BTCUSD:DEFAULT" for crypto or symbols like "TSLA", "AAPL", and even "^SPX" for indices.

5. Can I reference a cell for the symbol?

   =TotalDebtToEquity(A1)

   As long as cell A1 contains a valid symbol (e.g., "MSFT"), the formula will work correctly.