Book Value Per Share (BVPS)
The per-share value of a company's net assets — total equity minus preferred equity, divided by shares outstanding.
What is BVPS?
Book Value Per Share (BVPS) represents the minimum value of a company's equity on a per-share basis, calculated by subtracting preferred equity from total shareholders' equity and dividing by the number of common shares outstanding. It reflects the accounting value of the company's assets after all liabilities and preferred claims have been paid — the residual value available to common shareholders. Companies with extensive intangible assets, brand value, or intellectual property often trade at large premiums to book value, while asset-intensive industries such as banks often trade near book value.
Formula
Worked Example
FY2024
Source: Microsoft 10-K FY2024 (2024-07-30)
Calculate BVPS
Total equity from the balance sheet, in millions of USD
Preferred stock value (0 if none), in millions of USD
Book Value Per Share
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