A low price relative to book value used to signal a bargain. Nowadays it provides only a hint of value. Divide a company’s market capitalization by its shareholders’ equity and you get the price to ...

In value analysis, though price-to-earnings (P/E) and price-to-sales (P/S) ratios are most preferred by investors, the underrated price-to-book ratio (P/B ratio) is also an easy-to-use valuation tool ...