Interest Group - Ratios to watch

Investors - They look for the following ratios, mainly:
1. Return on Capital Employed
2. Earnings per Share
3. Dividends per Share
4. Dividend Yield
5. Interest Cover
6. Liquidity
7. P/E Ratio

Lenders - these groups mainly worry for the following ratio:
1. Gearing ratios
2. Interest cover
3. Dividend payout ratio
4. Dividend Cover
5. Dividend Yield

Managers - Since they are mostly worried about the company performance and hence look for:
1. Profitability ratios
2. Asset turnover ratios
3. Stock, debtors and creditors turnover ratios
4. Liquidity ratios
5. Investor ratios

Employees - being very innocent and worried about their being in the firm, mainly look for:
1. Return on Capital Employed
2. Profitability
3. Cash flow figures
4. Investor ratios

Suppliers and other trade creditors - are much worried about the credit lending and recovery of their investment so mainly look for:
1. Profitability
2. Liquidity
3. Creditors’ turnover
4. Working capital management

Customers - mostly worried about nothing but:
1. Profitability
2. Liquidity
3. Return on Capital Employed

Governments and their agencies -
1. Profitability
2. Liquidity
3. Return on Capital Employed

Local community - this could be a long and interesting list and hence we can say they’d look for almost everything.

Financial analysts - the majority of all ratios

Environmental groups - they are much worried about the following:
1. Expenditure on anti pollution schemes
2. Expenditure on animal based research
3. Donations to charities and political organisations

Researchers - depends on the purpose of their study on and about that firm. These could be biased as well, sometimes.