When investors seek to value a company by comparing its stock price to its shareholders’ equity, they turn to the price-to-book ratio. Price-to-book ratio is a metric that values a company based on ...

Calculate P/B ratio by dividing stock price by book value per share. A lower P/B may signal an undervalued stock, but verify with other metrics. Use P/B for tangible asset companies; it’s less valid ...

Find out why the price-to-book ratio is vital when conducting fundamental analysis. Discover how it can help you evaluate ...