Book Value Ratio 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 ratio formula. 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. The price to book value ratio p b formula is also referred to as a market to book ratio and measures the proportion between the market price for a share and the book value per share. Here s the formula of price to book value price to book value ratio market price per share book value per share.
It s calculated by dividing the company s stock price per share by its book value per.
Source : pinterest.com