By: Data Dalal | February 08, 2016

Earning Per Share (EPS): EPS represents the portion of a company's profit allocated to each outstanding share of common stock. Net income (reported or estimated) for a period of time is divided by the total number of shares outstanding during that period. It is one of the measures of the profitability of common shareholder's investments. It is given by profit after tax (PAT) divided by number of common shares outstanding.

Price Earning Multiple (P/E): Price earning multiple is ratio between market value per share and earning per share.

Book Value (BV): (of a common share) The company's Net worth (which is paid-up capital + reserves & surplus) divided by number of shares outstanding.

Market value to book value ratio (MV/BV ratio): It is the ratio between the market price of a security and Book Value of the security. 

Category: STOCK MARKET A TO Z 

Tags: DEFINITION