Finance

Price to Book (P/B) Calculator

Find the price-to-book ratio.

Parameters Live Compute
Calculated Output
P/B ratio 1.5
Formula: P/B = price ÷ book value per share
Step-by-Step Breakdown
1. Values used:
2. Share price = 30 $
3. Book value per share = 20 $
4.
5. P/B ratio = Share price / Book value per share = 30 / 20 = 1.5
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P/B compares market price to accounting book value.

The math behind it

P/B = price ÷ book value per share.

Worked Example

$30 ÷ $20 → 1.5.

Frequently Asked Questions

Below 1?

May suggest undervaluation — or weak assets.

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