Book Value Vs Equity

The book value of equity is equal to total assetsminus total liabilities preferred stocks and intangible assets.

Book value vs equity. So what is the actual difference between all of them. Net value. Equity is apparently defined in much the same way.

Is calculated as the difference between the assets and liabilities values the book value is used to determine the theoretical equity value attributable to the company s shareholders. Net asset value. 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.

What does book value of equity mean. Book value of equity total assets total liabilities. This is calculated by dividing the net value of all the securities in the portfolio by the number of shares outstanding.

Book value per share. If a company has a high price to book ratio market price per share divided by book value of equity per share relative to its industry peers the market likely has high growth expectations for the company. I have been doing some reading and i have found that shareholder s equity is equal to the company s total assets minus its total liabilities.

Book value of equity also known as shareholder s equity is a firm s common equity that represents the amount available for distribution to shareholders. Book value is equal to the value of the firm s equity while market value indicates the current market value of any firm or any asset. Book value us 375 32 billion us 241 27 billion us 134 05 billion.

While enterprise value gives an accurate calculation of the overall current value of a business similar to a balance sheet equity value offers a snapshot of both current and potential future. A mutual fund s price per share. Note that the book value of assets indicates the recorded value that shareholders own in case of the company s liquidation.