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Yesasaa, Tell us more. Does this help
of assets and the book value of liabilities.
by accounting convention.
might deviate significantly from market value
if the earning power
of the asset has increased or declined significantly since its
can be compared to the market price.
price-book value ratios can be
compared across similar firms for
signs of under or over valuation.
PE ratios, can be evaluated
using price-book value ratios.
on depreciation and other variables.
When accounting standards
vary widely across firms, the price-book value ratios may not
comparable across firms.
do not have significant fixed assets.
string of negative earnings reports,
leading to a negative price-book
Thank you very much :)