Currently, Du Pont analysis, the Wall Marking Way and economic value added evaluation are the three pillars of financial performance evaluation. Based on the quantitative analysis of sample companies, this paper compares and analyzes the characteristics and applicability of the three methods from three aspects of evaluation concept, index nature and evaluation elements, and gives the analysis conclusion combined with the scale, quantity and life cycle of performance evaluation object. Finally, it puts forward the view that “the method is the king regardless of advantages and disadvantages, and the application is the king”.

Ying Zhao. Analysis of Financial Performance Evaluation Method Based on Applicability. Academic Journal of Business & Management (2020) Vol. 2, Issue 3: 68-74. https://doi.org/10.25236/AJBM.2020.020310.

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