Equity Multiplier
How many dollars of assets you have for every dollar of equity. Higher means more leverage (more debt funding assets). Can boost returns but increases risk.
- How it's worked out
- Total Assets / Total Equity
- Which way is better
- Read it in contextNeither higher nor lower is better on its own. Read it alongside the measures around it.
Written by Mandy Walker, founder of Focus on Cash. Updated October 2026. This explanation comes from the glossary inside Focus on Cash, so it matches the words you see in the app.
Related measures
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