Thank you Aswath! I have another question based on the previous. I am doing this analysis on Starwood Hotel & Resorts, does the Debt/ (Debt + Equity) of 58% seem to high. I think it's reasonable because its hotel..what do you think?

Question

anonymous · Answer

You have to compare it to the average of the sector in order to know if it is to high or to low.

anonymous · Answer

You can also try the optimal debt ratio approach to judge whether it is high or not!