asset value per share


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Asset Value

In stocks, the market value of a company's assets per share. Asset value does not take into account the share price; one calculates the asset value by adding together the total value of the company's tangible and intangible assets and dividing by the shares outstanding. Fundamental analysts may use a company's asset value to determine whether it is undervalued or overvalued. A company with a share price below its asset value is considered undervalued and fundamental analysts may recommend buying shares in that company. On the other hand, a company with a share price above the asset value is overvalued and fundamental analysts may recommend selling it. See also: Net asset value.

asset value per share

or

break-up value

the total value of a firm's tangible book ASSETS less all short- and long-term LIABILITIES as shown in the BALANCE SHEET. The net assets figure is divided by the number of ORDINARY SHARES the company has, to show approximately how much asset value supports each share. In the case of a LIQUIDATION it would be of some use to the SHAREHOLDERS in estimating how much they may reasonably expect to receive from the sale of the firm or of its assets. Book values of assets may be a reasonable estimate of their value to the firm as a going concern, but upon break-up they tend to be worth considerably less depending upon the alternative uses to which they can be put. See also ASSET-STRIPPER, SHARE CAPITAL.
References in periodicals archive ?
The corrected net asset values per share for each Friday during the period December 21, 1999 through January 7, 2000 where the corrected net asset value per share differs from the previously published net asset value per share by at least 1% are listed below.
On March 31, 1994, total net assets of the Fund were $169,162,003, and the net asset value per share was $18.
The estimated 16% growth in sterling terms in net asset value per share is a result of our commitment to build companies based on strong IP, proven technology and which are addressing large unmet market needs.
For the six months ended February 28, 1994, the Fund's net asset value per share increased $5.
The dilutive effect of the offering on the fund's net asset value per share was approximately 5.
On March 31, 1993, total net assets of the fund were $108,549,971, and net asset value per share was $16.
The repurchase price for the shares will be the Fund's net asset value per share as determined at the close of regular trading on the Taiwan Stock Exchange on December 29, 2006 or, if the Taiwan Stock Exchange is not open on December 29, 2006, at the opening of the New York Stock Exchange on December 29, 2006.
The Fund's net asset value per share may fluctuate between the deadline for participating in the repurchase offer (December 15, 2006) and the pricing date of the repurchase offer (December 29, 2006).
The Fund reported a net asset value per share as of the close of business of May 31, 1992, of $21.