Compare share price with book value per share.
Please do not make financial decisions based on these results.
What is the Price to Book Ratio Calculator?
Compare share price with book value per share. To use the Price to Book Ratio Calculator, enter share price, book value per share; it returns p/b ratio, and shows them instantly as you type.
Valuing a stock step by step
Begin with the P/E ratio and PEG ratio to see what the market pays for earnings and growth. Then check quality with ROE and ROIC, and compare ROIC with the WACC.
For a second opinion, estimate intrinsic value with the Dividend Discount Model Calculator or the Graham Number Calculator, then compute the margin of safety against today’s price.
- Returns. EPS, EPS growth, dividend yield and payout ratio measure what shareholders earn.
- Risk. Beta, unlevered beta and portfolio beta measure sensitivity to the market.
- Position tools. Stock average, stock split and market cap calculators keep your records straight.
How to use the Price to Book Ratio Calculator
- Enter your numbers. The inputs are Share price ($), Book value per share ($). Take price and share figures from the latest filing or quote. Fields marked optional can stay at zero.
- Read the result. The highlighted box gives the P/B ratio. Tables and charts break it down further.
- Test other scenarios. Results update as you type. Change one value at a time to see what drives the answer, and press Reset to go back to the defaults.
Formula and how it works
Example with real numbers
Here is the Price to Book Ratio Calculator using the default values shown in the calculator above:
Inputs
| Share price ($) | 38 |
|---|---|
| Book value per share ($) | 22 |
Results
| P/B ratio | 1.73× |
|---|
With these inputs the calculator returns P/B ratio: 1.73×. Change any value in the calculator to see how the result moves.
What if you change one input?
Sensitivity check: raising Share price ($) from 38 to 45.6 (about 20% higher) and leaving everything else as in the example above changes the results like this:
| Result | Example | After the change | Change |
|---|---|---|---|
| P/B ratio | 1.73× | 2.07× | +20% |
The input that moves the result most is the one to check twice. Change it in the calculator above to test your own case.
Method and limits. This calculator applies the formula in the section above to your inputs, in your browser; nothing you enter is stored on our servers. The result is only as accurate as the numbers you enter and the formula shown above. It is for information, not financial, tax or legal advice.
Frequently asked questions
What does P/B below 1 mean?
The stock trades below the accounting value of its net assets.
Are valuation results investment advice?
No. They are model outputs from the figures you enter. Test a range of assumptions and speak with a licensed adviser before investing.
Where do I find the inputs?
Company filings (10-K and 10-Q), investor relations pages and your broker show earnings, equity, debt and share counts.
Are the results guaranteed?
No. Results depend entirely on the numbers you enter and the formulas shown on this page. Please do not make financial decisions based on them alone; confirm important figures with a licensed professional.
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