Market to Book Ratio¶
Definition¶
Market value of common equity scaled by the book value common equity.
MTB_{i,t} = \frac{PRCC\_F_{i,t}\times CSHO_{i,t}}{CEQ_{i,t}}
where PRCC\_F is the share price at fiscal year end, CSHO is the common shares outstanding, and CEQ is common equity, all from Compustat Fundamentals Annual WRDS.COMP.FUNDA.
Last update: August 10, 2020