`"Total Common Stock Equity"` | ||
`"No. of common shares"` | ||
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UUID | 7bca057a-0b6a-11e4-b7aa-bc764e2038f2 |
The Book Value per share equation is used to determine the per share value of a company based on its equity that is available to common shareholders. It is also known as stockholder's equity.
Another common formula used to calculate the Book value per share is : BVS= (Total shareholder equity-Preferred Equity)/ Total Outstanding shares.
EXAMPLE
Delux, a company that is currently trading for $100 but has a book value of $50 is selling at twice its equity.
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