Price-to-Book

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Price-to-Book

A ratio of the share price of a publicly-traded company to its book value per share, which is the company's total asset value less the value of its liabilities. The P/B is a ratio of investor sentiment on the value of a stock to its actual value according to the Generally Accepted Accounting Principles. A high P/B means either that investors have overvalued the company, or that its accountants have undervalued it.
References in periodicals archive ?
But historically, stocks that trade at low price to book (P/B) multiples tend to outperform those with high price to book multiples.
As we have reported on options news before, homebuilders trade off of price to book ratios, and price to liquidity ratios.
Under that methodology, the S&P 500 has been divided into two equal segments: a Growth Index containing those companies with the highest ratios of market price to book value, and a Value Index containing those with the lowest price-to-book ratios.
Under Cullen's investment strategy, the portfolio manager seeks out mid-sized and large cap companies that possess three key elements: attractively low valuations evidenced by low price to earnings ratios and low price to book ratios, dividend yields which are greater than the S&P 500 as this has historically served to offer downside protection, and lower than average dividend payout rates that are growing.
According to the report, "PNB is the cheapest Florida community bank on a price to book value basis, trading at a 55% discount to its peers, or at 1.
The primary reason is a transaction value on a price to book basis that is outside the boundary of reasonableness when compared to precedent transactions coupled with open market opportunities to sell above the offer price.
The acquisition represents a price to book ratio of 4.
When I'm looking in the tech sector, I'm not going to be looking at things like price to book, but I will look at price to cash flow and a PEG ratio, or an earnings surprise (that's always a good indicator).
The average price to book ratio for Oregon/Washington commercial banks is 1.
The acquisition price to book value will be approximately 3.
Meeting with management and assessing a number of criteria beyond sheer price-to-earnings -- including price to book value, enterprise value to cashflow -- Brody's group makes its investment decision based on long-term investment horizon.