Book value per share (BVPS) measures a firm's common equity divided by its number of shares outstanding. BVPS indicates a firm's net asset value (NAV) or total assets minus total liabilities per ...

D ivide a company’s market capitalization by its shareholders’ equity and you get the price to book ratio. Equivalently, divide the share price by the book value per share.

It is calculated by dividing the current closing price of the stock by the latest quarter's book value per share. P/B ratio = market capitalization/book value of equity.