Book value per share (BVPS) is a measure of value of a company's common share based on book value of the shareholders' equity of the company. It is the amount that shareholders would receive if the company dissolves, realizes cash equal to the book value of its assets and pays ...
The book value per share (BVPS) ratio compares the equity held by common stockholders to the total number of outstanding shares. To put it simply, this calculates a company’s per-share total assets less total liabilities. But what exactly is book value per share? And how can you use it...
Book Value per Common Share Formula Book Value per Common Share = Net Asset Value Number of Outstanding Common Shares Treasury stock is not included.Book value can also be calculated for bonds and preferred stock. Because bonds are senior to preferred stock, which are senior to common stock, ...
It is considered a common metric when a company decides to liquidate its assets and settle all the other claims. The book value per share formula can be expressed as:BVPS = Shareholder’s equity or Net value of assets / Total number of outstanding sharesExample of BVPS...
The Book Value Per Share (BVPS) is the per-share value of equity on an accrual accounting basis that belongs to the common shareholders of a company. How to Calculate Book Value Per Share (BVPS) The book value of equity (BVE) is the value of a company’s assets, as if all its asse...
The book value per share (BVPS) is calculated by taking the ratio of equity available to common stockholders against the number of shares outstanding. When
Book Value Per Share Formula The formula for determining book value per share, or BVPS, is: BVPS =Book Value / Number of Shares Outstanding A company that has a book value of $200 million, and 25 million outstanding shares would have a Book Value Per Share of $8.00. ...
Define Book Value Per Common Share. means, as of the close of business on any date, the stockholders’ equity, as publicly reported by the Corporation, divided by the total number of outstanding shares of Common Stock and other equity of the Corporation,
The market value per share is a company's current stock price, and it reflects a value that market participants are willing to pay for its common share. Thebook value per share is calculatedusinghistorical costs, but the market value per share is a forward-looking metric that takes into acc...
Thebook value per share (BVPS) metriccan be used by investors to gauge whether a stock price is undervalued by comparing it to the firm's market value per share. If a company’s BVPS is higher than itsmarket valueper share—its current stock price—then the stock is considered undervalued...