book value

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Book value

A company's total assets minus intangible assets and liabilities, such as debt. A company's book value might be higher or lower than its market value.

Net Asset Value

In stocks and businesses, an expression of the underlying value of the company. That is, it is a statement of the value of the company's assets minus the value of its liabilities. One way of thinking about the net asset value is that it is the underlying value of a company, not the value dictated by the supply and demand of shares or its market capitalization. It is also called the book value.

book value

1. The net dollar value at which an asset is carried on a firm's balance sheet. For example, a building that was purchased for $900,000 but that has depreciated $200,000 has a book value of $700,000. Book value, an accounting concept, often bears little relation to an asset's market value. Also called carrying value, depreciated cost.

Book value.

Book value is the net asset value (NAV) of a company's stocks and bonds.

Finding the NAV involves subtracting the company's short- and long-term liabilities from its assets to find net assets. Then you'd divide the net assets by the number of shares of common stock, preferred stock, or bonds to get the NAV per share or per bond.

Book value is sometimes cited as a way of determining whether a company's assets cover its outstanding obligations and equity issues.

Further, some investors and analysts look at the price of a stock in relation to its book value, which is provided in the company's annual report, to help identify undervalued stocks. Other investors discount the relevance of this information.

book value

the money amount of an ASSET as stated in a company's LEDGER accounts and BALANCE SHEET. FIXED ASSETS are often stated at NET BOOK VALUE (original cost less cumulative DEPRECIATION), while CURRENT ASSETS are stated at original cost or market value, whichever is the lower.

book value

The value of an asset as reflected on the books and records of a company,taking into account the original book cost of acquisition and then deducting depreciation expenses charged over the years and adding capital expenditures.Book value rarely bears any relationship to the true value of assets.

References in periodicals archive ?
As long as an asset's value in place remains above book value, no loss is recognized.
samples, the yearly regression coefficients of the book values of the Canadian and the Japanese samples are significant in all nine years, while the coefficients of earnings for these two countries are less stable over time.
An important measure of value is the book value per share-total assets minus intangible assets and liabilities divided by the number of outstanding shares.
For instance, outstanding loans extended by Chinese branches of domestic banks cannot exceed two times the amount of their deposits from local people and call loans; investments by domestic banks in buying into Chinese banks or investments in the setup of Chinese branches and subsidiaries cannot exceed 15% of their book value.
This week a 2004 Camry XLE V6 automatic is typically selling for $24,050 based on the Kelley Blue Book New Car Blue Book Value, almost $2,000 below MSRP.
If the RCC were obliged to buy the loans at effective book value, ''it would be tantamount to the government funneling large amounts of taxpayers' funds into banks,'' Aso said.
The applicable insurance fund is equivalent to book value plus liability reserve fund of an insurance firm.
Consumers want to know they are getting a good deal on a new car and with Zag's partner dealers using our New Car Blue Book value as a no-haggle price, it's practically ensured," said Leo Drew, executive vice president of customer sales and strategy, Kelley Blue Book.
Carver's current market price is reflective of its weak financial performance and some uncertainty regarding the quality of its book value.
Accounting rules require that the new book values be reviewed for impairment using current oil and gas prices and costs.
These Control Managers extend the capabilities with which cash and securities transactions are processed, multicurrency and FX gains and losses are computed and stored, and book values are maintained across CAMRA 2000's multiple accounting bases.