Best Free Ratio Analysis Courses Online with Certificates - 2025

Yes, this course is 100% free. There are no enrollment fees, subscription costs, or hidden charges. It is designed to offer learners, regardless of their financial background, a credible opportunity to master business development concepts and financial analysis techniques without any financial barrier.

Absolutely. The course is fully self-paced, allowing you to study at your own rhythm. Whether you're a full-time student, a working professional, or a business owner, you can pause, revisit, or resume the content anytime to suit your schedule. There are no time limits or expiry dates.

This course bridges the gap between theoretical understanding and practical application. You will explore real-world business cases and financial statements to learn how to calculate, analyze, and interpret financial ratios. This hands-on approach ensures you're prepared to apply what you’ve learned in real business environments.

This course focuses on core financial analysis principles essential for business growth and strategy. You will learn:

• The fundamentals of ratio analysis
• Types of financial ratios and their purpose
• Interpretation of profitability, liquidity, efficiency, and leverage ratios
• How to use the DuPont analysis to break down Return on Equity (ROE)
• Case-based insights into evaluating business health using ratios

Yes. On successful completion, you will receive a free digital certificate that validates your understanding of ratio analysis and business development fundamentals. This certificate can be showcased on your resume, LinkedIn profile, or during job interviews to enhance your professional credibility.

The course is designed to be concise yet comprehensive. It typically takes just 5 hours to complete. However, with lifetime access to the material, you can go back to review concepts or revisit modules whenever required.

Ratio analysis is a quantitative method used to evaluate a company’s financial health and performance by comparing specific financial metrics. It involves analyzing figures from the income statement and balance sheet to assess aspects like profitability, liquidity, efficiency, and solvency. It is a foundational tool used by investors, analysts, and business leaders to make informed decisions.

The five primary types of ratio analysis include:

1. Profitability Ratios – Measure a business’s ability to generate profit (e.g., Net Profit Margin, Return on Assets).
2. Liquidity Ratios – Assess the company’s ability to meet short-term obligations (e.g., Current Ratio, Quick Ratio).
3. Efficiency Ratios – Indicate how efficiently resources are used (e.g., Inventory Turnover, Asset Turnover).
4. Leverage (Solvency) Ratios – Evaluate financial leverage and long-term stability (e.g., Debt-to-Equity Ratio).
5. Market Value Ratios – Analyze stock valuation and shareholder value (e.g., Earnings Per Share, P/E Ratio).
   

Here are five commonly used financial ratios in evaluating business performance:

1. Current Ratio – Indicates liquidity and ability to cover short-term liabilities.
2. Gross Profit Margin – Shows profitability relative to revenue.
3. Net Profit Margin – Reflects overall profitability after all expenses.
4. Return on Equity (ROE) – Measures return generated on shareholders’ equity.
5. Debt-to-Equity Ratio – Assesses financial leverage and risk.
   

Investors, lenders, management, creditors, and regulatory authorities rely on ratio analysis to make informed decisions, assess risks, and evaluate company health.

By identifying trends, benchmarking against competitors, and spotting financial risks, ratio analysis informs strategic planning and drives sustainable business growth.

This practical certification demonstrates your ability to interpret financial data, a skill highly valued in finance, business development, strategy, and operational roles across industries.