The P/B ratio shows how a stock's market price compares to its book value. It helps gauge whether a stock is undervalued or overvalued relative to its net assets.
Catey Hill is the managing editor for MarketWatch Picks. Catey is the author of two personal finance books, “Shoo, Jimmy Choo!” and “The 30-Minute Money Plan for Moms.” She previously held positions ...
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