Abstract
The effect of financial ratios on financial performance of an American multinational energy corporation Chevron Corporation (CVX) was investigated in this paper for the period 1994 to 2020. In this paper current ratio (CR) and cash ratio (Cash R) represent the liquidity ratios, debt ratio (DR) and debt to equity ratio (DTER) represent the leverage ratios, while return on assets ratio (ROA) and return on equity ratio (ROE) shows the profitability ratios and earnings per share ratio (EPS) represents market value ratio. According to the results and the financial performance of the company, CVX faced financial problems, which shrank to negative due to the financial crisis and pandemic. However, this company is now the world’s seventh-largest oil company based on revenue. The results depict that the earnings per share ratio (EPS), return on equity ratio (ROE) have a positive relationship, while the debt ratio (DR) has a negative association with the company’s financial performance.
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Usmonov, B. (2023). The Impact of the Financial Ratios on the Financial Performance. A Case of Chevron Corporation (CVX). In: Koucheryavy, Y., Aziz, A. (eds) Internet of Things, Smart Spaces, and Next Generation Networks and Systems. NEW2AN 2022. Lecture Notes in Computer Science, vol 13772. Springer, Cham. https://doi.org/10.1007/978-3-031-30258-9_28
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