I'm reading the Intelligent Investor and I found this:
- Stock/Equity Ratio. This is the ratio of the market price of the junior stock issues* to the total face amount of the debt, or the debt plus preferred stock. It is a rough measure of the protection, or “cushion,” afforded by the presence of a junior investment that must first bear the brunt of unfavorable developments. This factor includes the market’s appraisal of the future prospects of the enterprise.
But then I googled "stock/equity ratio" and can't find anything. Is there another name for this ratio? Do you know this ratio?