## About Price to Book Ratio Calculator

The Price to Book Ratio Calculator is used to calculate the price to book ratio (P/B ratio).

## Price to Book Ratio Definition

The price to book ratio (P/B ratio) is a financial ratio used to compare a company’s book value to its current market price. It is calculated by dividing the current closing price of the stock by the latest quarter’s book value per share. The lower the price to book ratio, the better the value. The price to book ratio is also known as the market-to-book ratio and the price-to-equity ratio.

## Price to Book Ratio Calculation

The Price to Book Ratio calculation formula is as follows:

Price to Book Ratio = Share Price / Book Value Per Share

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