The price-to-book (P/B) ratio is widely favored by value investors for identifying low-priced stocks with exceptional returns. The ratio is used to compare a stock’s market value/price to its book ...

The price-to-book ratio, or P/B ratio, is the ratio of a stock's price to its book value, i.e., how much an investor needs to pay for each dollar of a stock's book value. It is calculated by dividing ...