Book Value Per Share Common Stock Formula
To find the equity you should subtract the company s liabilities from its assets.
Book value per share common stock formula. The book value per share bvps is calculated by taking the ratio of equity available to common stockholders against the number of shares outstanding. Book value indicates the difference between the total assets and the total liabilities and when the formula for book value per share is to divide this book value by the number of common shares. The book value per share is the minimum cash value of a company and its equity for common shareholders.
Total equity preferred equity and total outstanding shares. When compared to the current market value per share the book value per share can provide information on how a company s stock is valued.