Equity Valuation

Tangible Book Value

Definition

What is Tangible Book Value?

Book valueThe accounting value of shareholders' equity. after deducting goodwillAn acquisition asset representing the excess purchase price over the fair value of identifiable net assets. and other intangible assetsNon-physical resources such as patents, licences, brands, and software..

Example in practice

How This Looks in Practice

A bank's tangible book value excludes acquired goodwill.

Keep learning

Related Terms

Think you know your investing terms?

Put your knowledge to the test with a quick quiz.

Take the quiz