Tag: PB
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💡 Why is Book Value sometimes higher than Market Value?
We were recently asked by a client:“Why is the book value (shareholders’ equity in financial statements) higher than the market value (stock price × total shares)?” Let’s break it down. 1️⃣ Book Value Found on the balance sheet. Represents what shareholders would theoretically get if the company was liquidated (sell assets, pay debts). 2️⃣ Market…
