Data:2009-12-12 2:34
Category: Money tips Release Date: 2006-02-08
Xiao Zhang Teacher:
A number of research articles are referred to "book value", which refers to what?
Zhejiang Ms. Sun
Ms. Sun:
MB ratio refers to the market value of the ratio between net assets per share, the lower ratio means that the lower the risk.
Book value = stock price / net asset per share.
The amount of net assets is determined by stock companies operating conditions, shares of the company's operating results for the better, faster appreciation of its assets, the stock the higher net worth, so he has an interest of shareholders are also more.
Generally speaking, stocks with lower book value, investment value of higher, on the contrary, then the investment value of the low. However, in determining the value of investment should also be considered the prevailing market conditions and the company's business operations, profitability and other factors.