The Debt to Enterprise Value Ratio (EV) is a financial ratio used to measure the amount of debt held against a company’s enterprise value. It provides an insight into how much risk a company may be taking on by having certain levels of debt in relation to its total assets. To calculate the debt-to-EV ratio, divide the total liabilities of the company by its enterprise value. A low Debt-to-EV ratio indicates that the company has less debt and more assets to generate income and cash flow, while a high Debt-to-EV ratio could signal that the company is carrying too much debt relative to its asset base and may not have enough liquidity to service its obligations.