What Is Book Value Per Share Used For
If a company s bvps is.
What is book value per share used for. The book value of equity per share bvps metric can be used by investors to gauge whether a stock price is undervalued by comparing it to the firm s market value per share. Book value per share is a fairly conservative way to measure a stock s value. Book value is the measure of all of a company s assets.
Book value per common share or simply book value per share bvps is a method to calculate the per share book value of a company based on common shareholders equity in the company.
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