Sentences with phrase «tangible book value ratio»

However, the P / B ratio had average excess returns of -3.84 % from 2001 to 2011 versus -3.62 % for the price to tangible book value ratio.

The price to tangible book value ratio to some degree overcomes this issue and more closely represents what common shareholders can expect to receive if the firm goes bankrupt and all of its assets are liquidated at their book values.

The results for the 10 - year price to tangible book value ratio backtest are as follows:

These are then ranked by the criteria being tested; in this case, we are testing the price to tangible book value ratio.

The price to tangible book value ratio is simply the current price of the stock divided by the latest quarterly tangible book value per share.

While I thought the price to tangible book value ratio would be clearly superior to the standard price - to - book ratio, that ended up not being so clear in this backtest.

Not exact matches

We also like to track price - to - tangible - book - value ratios.

The only conclusion that could be gleaned from this 10 - year backtest is that price to tangible book value might be slightly better at identifying value opportunities than the standard price - to - book ratio for stocks with the lowest price ratios.

Moreover, the average excess returns from 2001 to 2011 for the top quintile for price to tangible book value (5.23 %) exceed that of the price - to - book ratio (4.89 %).

A ratio used to compare a stock's market valuation to its (tangible) book value.

By the way, I asked Heiserman about the tendency for some large - cap blue chips — names like Procter & Gamble, IBM, and Altria — to have a high intangible assets ratio and negative tangible book value.

Interesting and sometimes compelling idea that may be very illiquid, may be a probability bet with a favourable asymmetrical reward to risk ratio, or may simply be a low quality business that is very cheap relative on a net - net working capital or price / tangible book value basis.

Price - to - book (P / B) ratio: the ratio of a company's share price to its book value (tangible assets minus liabilities).

Stocks were selected and held only if they appeared undervalued based on ratios like price to earnings, price to «owner earnings» (similar to free cash flow), enterprise value to operating earnings, and price to tangible book.