When is Gearing Ratio High or Low?

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When is Gearing Ratio High or Low?
Chloe
Hi, I was just wondering. The article says "the higher the gearing ratio...." or "the lower the gearing ratio..." but I was wondering what deemed a high or a low ratio. Specifically, what is a high ratio? Over 2?
 

 
Gearing Ratio
Bor Ezekiel
I think high means above 50%.
 

 
Gearing Ratios of Competitors
Bulmus, Member
It actually depends upon the other business that are running the businesses in the same industry.
Gearing ratios can then be compared and interpreted.
 

 







 

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