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How to calculate Book value per share

The Book value per share formula, with plain worked examples you can check yourself.

Book value per share = E ÷ Shares

Worked examples

E = 1200 · Shares = 100Book value per share = 12
E = 2000 · Shares = 100Book value per share = 20
E = 8000 · Shares = 400Book value per share = 20

How to use it

  1. Write down the values for each letter in the formula.
  2. Do the brackets first, then divide or multiply.
  3. Check the units before you compare results.
  4. Compare the answer with last period or with a competitor to see if it is good or bad.

This formula belongs to Investing & Returns.

Related terms

DividendBondHedgingArbitrageLeverageAsset allocation

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