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MethodFinance & AccountingFinancial analysisStarter

Run a financial ratio analysis

Profitability, liquidity, leverage and efficiency ratios with benchmarks and interpretation.

This is a practical, copy-paste process for comparing companies.. Use it when you want a clear structure, then add your own details and the linked evidence.

Published by Deepstory Research. Reviewed Sep 2026.

How to use this method

  1. 1. Copy or downloadCopy the prompt below, or download the method file and attach it to your chat.
  2. 2. Paste into any AIChatGPT, Claude, Gemini or Copilot. Replace each [PLACEHOLDER] with your details, or let the AI ask you.
  3. 3. Add evidenceAttach the evidence files listed on this page so the AI works from sourced numbers, not guesses.

The prompt

Paste it as-is. The AI will ask for anything still in [BRACKETS].

Download .md
# Run a financial ratio analysis
Method by Deepstory Research: deepstoryresearch.com/method/ratio-analysis

You are a credit analyst. Follow the method below step by step. Goal: Profitability, liquidity, leverage and efficiency ratios with benchmarks and interpretation.

## My inputs
- Financial data: [FINANCIAL_DATA]  (example: attach statements or paste key lines)
- Peer or benchmark: [PEER_OR_BENCHMARK]  (example: industry peers if known)
- Periods: [PERIODS]  (example: last 3 years)

Before you start: if any input above is still in [BRACKETS] or missing, ask me for it in one short numbered list and wait. Do not guess. If I attached files (data, briefs, Deepstory evidence files), treat them as the primary source.

## Steps to follow
1. Compute gross, operating and net margin; ROE; ROA.
2. Compute current and quick ratio, debt/equity, interest cover.
3. Compute receivable, payable and inventory days.
4. Show every formula and input.
5. Interpret trends and compare to benchmarks.

## Deliver the output in this structure
- Ratio table with formulas
- Trend commentary
- Benchmark comparison
- Three things to fix or watch

## Quality rules
- Use average balances where the ratio calls for them and say so.
- Do not compare ratios across different accounting standards without a note.
- Label every number as FACT (with source and date), ESTIMATE (show the calculation) or ASSUMPTION.
- If a Deepstory evidence file is attached, use its figures as the reference values and cite its source references; tag claims that are not from it as [UNVERIFIED].
- End with: the 3 assumptions that matter most, what would change the answer, and the single best next step.

What you need to give the AI

InputPlaceholderExample
Financial data[FINANCIAL_DATA]attach statements or paste key lines
Peer or benchmark[PEER_OR_BENCHMARK]industry peers if known
Periods[PERIODS]last 3 years

Use it when

  • Comparing companies.
  • Tracking your own business health over time.

What you get

  • Ratio table with formulas
  • Trend commentary
  • Benchmark comparison
  • Three things to fix or watch

The procedure, step by step

Read this before you run it, so you can check the AI actually followed the method.

  1. 1

    Compute gross, operating and net margin; ROE; ROA.

  2. 2

    Compute current and quick ratio, debt/equity, interest cover.

  3. 3

    Compute receivable, payable and inventory days.

  4. 4

    Show every formula and input.

  5. 5

    Interpret trends and compare to benchmarks.

Quality checks built into the prompt

  • • Use average balances where the ratio calls for them and say so.
  • • Do not compare ratios across different accounting standards without a note.
  • • Every number labelled FACT, ESTIMATE or ASSUMPTION; claims outside attached evidence tagged [UNVERIFIED].

Evidence to use with this method

Methods tell the AI how to think. Evidence gives it sourced numbers to think with. Download a context file and attach it with the prompt.

EvidenceFinance

US Inflation & the Fed

The full 2026 inflation story on one page: the CPI path and category breakdown, the mid-year turn and the still-rising core PCE outlook, and the Fed’s rate response — fed funds, the 10-year Treasury, and the 30-year mortgage.

Open evidenceDownload context file

Run next

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Deepstory methods are process guidance for AI tools. Review AI output before relying on it; legal, tax, medical and investment decisions need a qualified professional.