Price-to-book ratio

Price-to-book Ratio = Market price of common stock / Book value
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Price-to-book ratio (P/B)
A company's stock price divided by its per-share book value. Examining the P/B of an industrial company with a lot of hard assets is a good way of telling if it's undervalued or overvalued. See "Price/book value." ...

price-to-book ratio - a company's stock price divided by its book value.
price-to-earnings ratio (P/E ratio) - a company's stock price divided by its annual earnings per share.

Price-to-Book Ratio
The price-to-book ratio is used to compare a stock's market value to its book value. It is calculated by dividing the current closing price of the stock by the latest quarter's book value.

Price-to-book ratio
Shareholders' equity divided by the number of shares of stock outstanding.
Price-to-earnings ratio (P/E)
The share price of a stock, divided by its per-share earnings over the past year.

Price-to-book ratio (P/B): A company’s stock price divided by its per-share book value. If a company’s stock is trading below book value, which may mean the shares are undervalued.

Price-to-book ratio - The ratio found by dividing a stock"s market price per share by its book value (defined as being assets minus all liabilities) per share (This ratio measures the stock"s value relative to its net assets.

Price-To-Book Ratio at Investopedia
Trade-Profit.com: Using Price\Book Ratio
Price to Book Ratio at Wikinvest
Yahoo! Stock screener - Sorted by "Price/Book" ...

Value stocks are usually priced low relative to their historical average and have low price-to-earnings ratios or price-to-book ratios. Compare to growth investing. Value portfolios tend to have lower turnover than growth portfolios.

For example, the Russell 2000 Growth Index measures the performance of Russell 2000 companies with higher price-to-book ratios and higher forecasted growth values.

The experienced value investor will analyze a range of the businesses' financial fundamentals such as the price-earnings ratio (P/E), earnings yield, discounted cash flow analysis (DCF) and price-to-book ratios - to name but four of the nine+ key ...

But when you look at their price-to-book ratio, it's only around 1, which is near the bottom of their historical range of around 1 to 1.5.

Value investment style refers to high quality companies that are fundamentally undervalued: low P/E and price-to-book ratios and high dividend yields.

Every so often, MagicDiligence compiles a list of Magic Formula® Investing (MFI) stocks sorted by their dividend yield, price-to-sales ratio, and price-to-book ratio for investors that like to use those metrics.

Equity Based Evaluation relates the company's equity to the stock price. This method uses price-to-book ratios and return on equity to find this relationship.
Evening Star Pattern ...

Russell 1000® Value Index (R1000V): The Russell 1000® Value Index measures the performance of those Russell 1000® companies with lower price-to-book ratios and lower forecasted growth values. It is not possible to invest directly in an index.

To analyze various stocks in search of stocks that meet predetermined criteria. For example, a simple value screen would sort all stocks by their price-to-book ratio and pick the stocks with the lowest ratios as candidates for the value portfolio.

As such, investors use comparative multiples like P/E, EV/EBITDA, and price-to-book ratios all the time to assess the relative worth and performance of a companies and to identify buy and sell opportunities.

VALUE STOCK
A stock perceived by the marketplace to be undervalued based on criteria such as its price-to-earnings ratio, price-to-book ratio, dividend yield, etc.

Fundamental Screen - The TPSTM Fundamental Screen shows possible criteria for screening candidate stocks according to a company's various fundamentals such as Price-Earnings Ratios, Price-to-Book Ratios, Earnings Forecasts, etc.
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tends to trade at a lower price relative to it's fundamentals (i.e. dividends, earnings, sales, etc.) and thus considered undervalued by a value investor. Common characteristics of such stocks include a high dividend yield, low price-to-book ratio ...

between the equity of a company and the price of its stock is presented by the equity based evaluation. In order to find the exact value of this relationship when using equity based evaluation you should apply the price-to-book ratios and the ...

If the number is less (more) than one, the company is selling for less (more) than book value. Thus, a company with good business prospects would be expected to trade above 1.00 because the price-to-book ratio should reflect the value of its growth ...

S&P 500 or the Value Line index (This relative suggests to the investor whether his investment's price is reasonable compared to the market. Also can be used for historical comparison with P/E relatives of recent years.) price-to-book ratio: ...

See also: Stock, Book, Ratio, Share, Trading