The book value of a company is the difference between that company's total assets and its total liabilities, as shown on the company's balance sheet. Book value represents the carrying value of assets ...

You can calculate the price-to-book, or P/B, ratio by dividing a company's stock price by its book value per share, which is defined as its total assets minus any liabilities. This can be useful when ...

Equity represents the accounting (book) value of a company or it can represent ownership of a specific asset, such as a car or house. Learn more about equity in finance and how investors use it to ...

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Learn how to calculate the market value of equity—find the total dollar value by multiplying the current share price by outstanding shares and understand its importance.

The price/book (P/B) ratio measures a company’s stock price compared with its book value. The ratio is calculated by taking the market price per share of an investment and dividing it by the book ...

BABY-BOOMERS may recall, perhaps wistfully, how the golden-arched sign outside every McDonald’s restaurant would proclaim how many customers had been served by the chain. As they became adults, the ...

Will Kenton is an expert on the economy and investing laws and regulations. He previously held senior editorial roles at Investopedia and Kapitall Wire and holds a MA in Economics from The New School ...

The price-to-book (P/B) ratio is widely favored by value investors for identifying low-priced stocks with exceptional returns. The ratio is used to compare a stock’s market value/price to its book ...

Book value is the difference between a company’s assets and its liabilities. It represents what shareholders would receive if the company was liquidated. It’s slightly different from the market value, ...