REFS is
a mine of invaluable information for the private investor.
Selecting shares without its help is like trying to
clap with one hand tied behind your back.
|
|
 |
PTBV
(Price-to-tangible book value)
The calculation of
PTBV is as follows:
LATEST SHARE PRICE
--------------------------------------
= PTBV (X)
TANGIBLE BOOK VALUE
PER SHARE
Tangible book value
per share is calculated using information disclosed in the latest
available annual report. The tangible book value figure is divided
by the number of ordinary shares in issue at the year-end. The
calculation of tangible book value per share is as follows:
TANGIBLE BOOK VALUE
(£)
---------------------------------
X 100P = TANGIBLE BOOK VALUE PER SHARE (p)
SHARES IN ISSUE AT
YEAR-END
Tangible book value
is calculated as follows:
ORDINARY CAPITAL
+ EQUITY RESERVES
- INTANGIBLE ASSETS
= TANGIBLE BOOK VALUE
(£)
The terms ‘tangible
book value per share’, and ‘net tangible asset value per share’,
are interchangeable, and have exactly the same meaning.
Tangible book value
per share can be subject to adjustment for a variety of reasons,
mostly reflecting share
capital changes which give rise to share price adjustment
factors.
|
|
|
