Moreover, there are 25 stocks within this group that are trading below their book values
with an average P/B ratio of 0.65x.
Some big companies that are trading below book values
are Tata Steel, Bajaj Hindusthan, Steel Authority of India, Reliance Communications and State Bank of Bikaner and Jaipur.
Ohlson (1995) argues that firm's market value equals to book value
of equity, earnings, plus other information.
Domestic banks noted that the use of book value
as the basis in the tally of risk-exposure ceiling will greatly constrain the development of domestic banks in the Chinese market, due to the smaller amount of their book values
It is believed that the two companies could write down as much as ILS1.4bn because of the difference between the book values
of companies in which they have a stake and those companies' market capitalisation.
We obtain evidence rejecting the claim that including book value
in the valuation specification eliminates the anomalous relationship.
(7) The second is that retained earnings and book equity have real consequences for financial service companies since their regulatory capital ratios are computed on the basis of book value
Public land developers nationwide possessed about 28,000 hectares of land at the end of fiscal 2001, with a combined book value
of 7.2 trillion yen.
Effective book values
would be much higher than the prices which the RCC has paid in purchasing bad loans from banks in helping them get the loans off their balance sheets.
The Difference measure, which is a measure of the difference in the relative valuation weight of earnings and book value
, is used to examine the relative importance of the earnings and book values
131, Disclosures about Segments of an Enterprise and Related Information -- or one level below an operating segment, referred to as a component.) It's a two-step test that first determines whether the book value
of the reporting unit's acquired assets exceeds the unit's so-called fair value -- typically measured through discounted cash-flow estimates.
MVA is the market value of the company (calculated as the market value of equity plus the book value
of debt) minus all the "capital" investors have provided in the form of loans, retained earnings, and paid-in capital.
A more stringent atmosphere with respect to book values
and accounting procedures will also compel real estate departments of offshore lenders and insurance companies to sell assets.
are obtained for the remaining assets (assume asset A was disposed of before the balance sheet date).
Wu Tan-chieh, vice chairperson of the FSC, noted that under the policy, book values
of insurance firms will remain unchanged.