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Measuring company performance-based financial ratios is common among decision makers such as business analysts, shareholders, creditors, prospective investors and financial managers. Ratio analysis is a powerful tool to enable stakeholders to analyze the health of companies' financial status. Financial ratios provide comparative financial status among companies within an industry or within a company itself. The decision maker can use ratios to identify internal strengths and weaknesses, and estimate future financial performance to compare companies in order to make a decision. Using econometric technique, this study employed the production function of the frontier to determine the performance and to analyse the productivity of companies. The purpose of this paper is to evaluate and measure the performance of 115 samples oflisted companies in Bursa Malaysia which will be discussed in terms of mathematical analysis. The Cobb-Douglas function was estimated using Maximum Likelihood to determine the values of parameters in the model. This study will utilize input of debt-equity ratio and asset turnover to maximize the output, return on equity ratio. This paper will mainly contribute in showing how the selection output based on DuPont theory was selected where the highest return on stockholders' investment is set as main objective and estimating the technical efficiency of companies using financial ratio. [ABSTRACT FROM AUTHOR]