Book Value Per Share Formula
The book value per share bvps is calculated by taking the ratio of equity available to common stockholders against the number of shares outstanding.
Book value per share formula. Bvps frac total shareholder equity preferred equity total outstanding. The book value per share is the minimum cash value of a company and its equity for common shareholders. When compared to the current market value per share the book value per share can provide information on how a company s stock is valued.
Total equity preferred equity and total outstanding shares. To find the equity you should subtract the company s liabilities from its assets. The book value per common share formula below is an accounting measure based on historical transactions.