Price Book Value Calculator

The stock price per share can be found as the amount listed as such through the secondary stock market.

Price book value calculator. To use this online calculator for price book value ratio enter market price per share p and cash dividend cd and hit the calculate button. Formula how to calculate price book value. Market method a company has a market cap of 50 000 and book value of 5 000.

It is calculated by dividing the current closing price of the stock by the latest quarter s book value per share. Price to book value p b ratio market price per share book value per share. The price to book ratio p b ratio is a financial ratio used to compare a company s book value to its current market price.

So we need to calculate the ratio in this manner. Price book value ratio and is denoted by p b ratio symbol. The book value of a company derived from its balance sheet stand to be rs 40 whereas the shares are being sold in the market for a value of rs 100 then the price to book value ratio will be.

Price to book ratio definition. The book value per share is considered to be the total equity for common stockholders which can be found on a company s balance sheet. The price to book ratio calculator is used to calculate the price to book ratio p b ratio.

Here is how the price book value ratio calculation can be explained with. The lower the price to book ratio the better the value. The formula for price to book value is the stock price per share divided by the book value per share.

How to calculate price book value ratio using this online calculator.