Book Value Per Share Treasury Shares

Dollar tree s share count went from 114 million to about 90 million shares through share buybacks a decrease of 21.

Book value per share treasury shares. The book value per share formula is used to calculate the per share value of a company based on its equity available to common shareholders. 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. It therefore had 5 000 common stock 5 000 shares 1 par value.

Example of treasury shares abc company had originally sold 5 000 shares of common stock with a 1 par value for 41 per share. Likewise in 2015 colgate bought back 22 802 784 shares and in 2016 colgate bought back 19 271 304 treasury shares. The term book value is a company s assets minus its liabilities and is sometimes referred to as stockholder s equity owner s equity shareholder s equity or simply equity.

Book value per share for the purpose of analysis the book value of equity is further divided by a total number of shares to make book value per share. This figure represents the minimum value of a company s. This means if the company dissolves the shareholders will receive an amount per share as per book value per share.

Book value of equity per share bvps is the ratio of equity available to common shareholders divided by the number of outstanding shares. While eps grew superbly from these buybacks book value did not fare so well. 500 shares of treasury stock are purchased for 14 per share.

Book value per share is a fairly conservative way to measure a stock s value. Due to share s issued for stock options and shares issued for restricted stock units the balance treasury stocks at the end of 2014 was 558 994 215 shares. The book value per share of common stock of lawrence company is 10.

Book value per share represents equity of the firm on per share basis.