Equity Turnover

Equity Turnover - an equity turnover is the corporations annual sales divided by its average stock holders equity ( which is known as the company's Net Worth) Equity turnover is a measure on how well a company is using the corporations investment equity to generates corporate revenue, and to make the corporation more profitable . When compared over a period of time, equity turnover will reveal the extent a corporation will grow with out any additional capital investments. In most cases corporations with high profit margins have a low equity turnover, and companies with a lo w profit margins have a higher equity turnover