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Equity-to-Assets Ratio The most important number of all. Measures financial strength and “survivability.” The higher the E/A, the better. E/As have an incredible range, from as low as 1 or 2 (candidates for the scrap heap) to as high as 20 (four times stronger than J. P. Morgan). An E/A of 5.5 to 6 is average, but below 5, you’re in the danger zone of ailing thrifts.
Beating the Street
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