Market to Book Ratio Formula
It can also be detailed as. PB Ratio Market price per sharebook value per share. Current Ratio Calculator Financial Strategies Accounting Basics Budgeting Money The market to book ratio is calculated with this formula. . The market price per share is simply the current stock price that the company is. The price-to-book ratio formula is calculated by dividing the market price per share by book value per share. Price-To-Book Ratio - PB Ratio. Share price number of shares outstanding total assets and total liabilities. Finally calculate the Market to Book Ratio using the equation above. The formula to calculate the market to book ratio is very simple. The book-to-market ratio is a financial metric that compares a businesss book value to its market value. The Market to Book Ratio or Price to Book Ratio is used to compare the current market value or price of a business to its book value of equity on the balance