The price-to-book ratio, or P/B ratio, looks at a company from a different angle. It compares the stock’s market capitalization to the value of what the company owns after subtracting what it owes.

When it comes to investing, you've likely heard the arguments for putting your hard-earned money into exchange-traded funds (ETFs) or mutual funds to diversify your portfolio or to allocate more of ...

Suzanne is a content marketer, writer, and fact-checker. She holds a Bachelor of Science in Finance degree from Bridgewater State University and helps develop content strategies. Ratio analysis helps ...

Investopedia contributors come from a range of backgrounds, and over 25 years there have been thousands of expert writers and editors who have contributed. Suzanne is a content marketer, writer, and ...

Reviewed by Natalya Yashina Fact checked by Suzanne Kvilhaug Analyzing a company's financial ratios is one way of examining a company's balance sheet and income statement. Financial ratios track a ...