An important part of the fundamental analysis is studying the company's ratios. While there are many, here are some of the most important ones you must check before investing:
Current ratio: this ratio indicates the liquidity status of a company, showing you whether a company is able to pay its debts and other liabilities.
Debt to Equity and interest coverage: important ratios that indicates how much the company depends on debt for its operations, and how well they can repay the debt via the money it generates.
Operating Profit margin reflects on the company's level of profitability and management's ability to generate them.
Asset turnover: This ratios tell you how efficeintly a company uses its resources such as assets, to produce sales and generate profits.
Return on equity: An important ratio, it tells you the total return the company generates on the equity that is invested in the company.
All these ratios are available on the company's website in their published annual reports. However, you can also see them all at once on Equitymaster. You can see a sample factsheet of Asian Paints.