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#AcwinAcademy #PBratio #bookvalue
It is a measure of the amount per share that a shareholder will get if the company is liquidated today. Book Value is an important measure for the safety of investment while investing in a stock. However, Since book value does not count the intangible assets, the prices of companies in sectors like Pharma and IT may be much higher than book value
A financial ratio that is used to compare the market value of a stock to its book value is called price to book ratio or P/B ratio
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