Book value
Book Value Per Share
FundamentalsThe net asset value of a company divided by outstanding shares. Represents theoretical value if company was liquidated.
Formula
Book Value = (Total Assets - Total Liabilities) / Outstanding Shares
Why it matters
Comparing stock price to book value (P/B ratio) helps identify undervalued stocks. Banks are often valued on book value.
Indian example
Related terms
Learn the concept
Reading an income statement →From the research
A Comparative Financial Analysis of Three Listed Companies
Three IT services leaders, five years of numbers: similar growth, very different margins and returns on capital, and their October 2026 valuations.
MarketsIPO Issue Price vs. Listing Price vs. Subsequent Performance
Seven of India's most talked-about IPOs since 2021, tracked from issue price to listing to October 2026. Buying on listing day lost money in six of seven.
ValuationPaytm: Valuing a Company With No Clean Comparable
Paytm is part payments processor, part device business, part loan distributor. Why no single peer fits, and how to value it in parts and in reverse.