Book Value Per Share Sec
When pro forma net tangible book value per share is adjusted for the additional 3 332 million shares the number of shares in the denominator is 39 838 670 i e 36 506 670 plus 3 332 000.
Book value per share sec. Diluted book value per common share is considered by the company s management to be an appropriate measure of its returns to common shareholders as the company believes growth in its book value on a diluted basis. The price to book p b ratio is a popular way to compare market value and book value. Financial analysts usually compare the book value.
The staff has allowed tangible book value per share calculations made with and without those assets with appropriate explanation. Accordingly the pro forma net tangible book value per share at july 31 was 0 72 or net tangible book value of 28 600 000 divided by 39 838 670 shares. In financial jargon book value per share is the value of total assets divided by total number of outstanding shares in the market.
Tangible book value per share tbvps is a method by which a company s value is determined on a per share basis by measuring its equity without the inclusion of any intangible assets. As of september 30 2013 we had a net tangible book value of us 263 8 million corresponding to a net tangible book value of us 6 02 per common share. In this case the shares outstanding number is stated at 3 36 billion so our bvps number is 71 3 billion divided by 3 36 billion which equals 21 22.
Book value per share basically tells us the worth of each share. 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. If you buy a share at rs 100 and its book value is rs 120 then the share is considered a value buy.
Learn more about how to calculate this ratio what it tells you and how investors use it to guide their decisions. 1 per instruction 2 to item 2 02 of form 8 k the requirements of s k 10 e 1 i apply to disclosures furnished or filed under item 2 02 of form 8 k. Each share of common stock has a book value.
In other words this measures a company s total assets minus its total liabilities on a per share basis. It is equal to the price per share divided by the book value per share.