is a high solvency ratio good 
a high solvency ratio is usually good as it means the company is usually in better long term health compared to companies with lower solvency ratios on the other hand a solvency ratio that is too high may show that the company is not utilizing potentially low cost debt as much as it should while solvency is mostly used as a barometer of financial health and higher is good it is also used to evaluate some of the operational efficiencies where higher is not always better 