Difference between revisions of "Market/book ratio"
Line 1: | Line 1: | ||
− | [[Market/book ratio]] ([[M/B ratio]]) is the ratio of a stock's market price to its book value. | + | [[Market/book ratio]] (alternatively known as [[M/B ratio]]) is the ratio of a stock's market price to its book value. |
Latest revision as of 18:24, 1 November 2019
Market/book ratio (alternatively known as M/B ratio) is the ratio of a stock's market price to its book value.
Definitions
According to Fundamentals of Financial Management by Eugene F. Brigham and Joel F. Houston (15th edition),
- Market/book ratio (M/B ratio). The ratio of a stock's market price to its book value.
Related concepts
- Financial management. A combination of enterprise efforts undertaken in order to procure and utilize monetary resources of the enterprise.