Book value per share is the value per share against the book value of total equity in a company’s balance sheet. To find out the book value per share just divide the book value of stockholders’ equity by the number of outstanding shares.
For example, Samsung Inc. has total equity of $50 million and a total of 25 million shares are outstanding, the book value per share will be calculated as follows
Book value per share = $50 million / 25 million shares
In case the book value per share is lower than the current market price, the share is considered overvalued and if the current market price of the share is lower than the book value per share, then the share is considered undervalued.
Donna Jamison, a 2003 graduate of the University of Florida with
D’Leon Inc., a regional snack foods producer, after an expansion
The stockholders’ equity of TVX Company at the beginning of the day
Filer Manufacturing has 8.3 million shares of common stock outstanding
Dudley Hill Golf Club’s market-to-book ratio is currently
Kinkaid Co. is incorporated at the beginning of this year and
Use the information from Problem 29 and calculate the stock price with
You are considering an investment in Roxie’s Bed & Breakfast Corp.
Shown below is the liabilities and stockholders’ equity section of the balance
Fools Gold, Inc., has the following stockholder’s equity: