Metrics

AAA

DEFINITION of 'Metrics'

Parameters or measures of quantitative assessment used for measurement, comparison or to track performance or production. Analysts use metrics to compare the performance of different companies, despite the many variations between firms.

INVESTOPEDIA EXPLAINS 'Metrics'

Metrics can refer to a company's EBITDA, earnings per share, or any other financial measures. They can also be industry specific, such as barrels of oil produced for exploration companies.

Taking the ratios of some metrics forms multiples, which further allow analysts to compare diverse firms.

RELATED TERMS
  1. Earnings Per Share - EPS

    The portion of a company's profit allocated to each outstanding ...
  2. Barra Risk Factor Analysis

    A multi-factor model created by Barra Inc., which is used to ...
  3. Earnings Before Interest, Taxes, ...

    An indicator of a company's financial performance which is calculated ...
  4. Comps

    A buzzword that refers to a retail firm's comparable same-store ...
  5. Multiple

    A term that measures some aspect of a company's financial well-being, ...
  6. Comparables

    A valuation technique in which a recently sold asset is used ...
Related Articles
  1. Viewing The Market As Organized Chaos
    Active Trading

    Viewing The Market As Organized Chaos

  2. Earnings Forecasts: A Primer
    Economics

    Earnings Forecasts: A Primer

  3. Core Earnings Strip Away
    Options & Futures

    Core Earnings Strip Away "Creative" ...

  4. Trading The Gold-Silver Ratio
    Options & Futures

    Trading The Gold-Silver Ratio

comments powered by Disqus
Hot Definitions
  1. 80-10-10 Mortgage

    A mortgage transaction in which a first and second mortgage are simultaneously originated. The first position lien has an ...
  2. Passive ETF

    One of two types of exchange-traded funds (ETFs) available for investors. Passive ETFs are index funds that track a specific ...
  3. Walras' Law

    An economics law that suggests that the existence of excess supply in one market must be matched by excess demand in another ...
  4. Market Segmentation

    A marketing term referring to the aggregating of prospective buyers into groups (segments) that have common needs and will ...
  5. Effective Annual Interest Rate

    An investment's annual rate of interest when compounding occurs more often than once a year. Calculated as the following: ...
  6. Debit Spread

    Two options with different market prices that an investor trades on the same underlying security. The higher priced option ...
Trading Center