What is it?
The price per book ratio compares a firm's market value to book value by dividing the market price per share by book value per share (BVPS). Book value is the net asset value (or equity) of a company calculated as total assets minus liabilities.
Who is interested?
The financial community and investors.
What does it tell me?
This is a valuation metric that measures how much investors are paying for each dollar of book equity.