Book Value per Share
Shareholders' equity divided by the number of shares outstanding — the accounting value attaching to one share.
Formula
Book Value per Share = Shareholders' Equity Attributable to Owners / Shares Outstanding
Unit
₹
In depth
Book value per share is the balance-sheet equivalent of EPS, and it grows over time as retained profits accumulate, which makes its growth rate a rough proxy for how well capital is being reinvested. It should exclude non-controlling interests, and analysts often also deduct goodwill and intangibles to reach tangible book value per share. For most operating companies it is a weak guide to worth, because assets are at historical cost and the most valuable ones may not be on the balance sheet at all. For banks and non-banking finance companies it is the primary valuation anchor.
Worked example
Shareholders' equity of ₹450 crore over 30 crore shares gives book value per share of 450 / 30 = ₹15. If ₹90 crore of goodwill sits inside that equity, tangible book value per share is (450 - 90) / 30 = ₹12.
Illustrative figures, chosen so the arithmetic is easy to follow. Not a live price and not a valuation of any company.
Educational reference only
This entry explains what “Book Value per Share” means. It is not investment advice and not a recommendation to buy or sell any security. Any numbers above are illustrative, not live prices, and nothing here predicts price direction or rates a stock. Consider your own circumstances and consult a SEBI-registered investment adviser before acting.