What Is Tangible Book Value?

What is tangible book value and why do investors look at it?

Matt Koppenheffer
Matt Koppenheffer and David Hanson
Jan 20, 2014 at 7:10AM
Financials

Most investors are familiar with the P/E Ratio, but fewer are comfortable with a metric like Tangible Book Value.

In this segment of The Motley Fool's financials-focused show, Where the Money Is, financial-sector analysts Matt Koppenheffer and David Hanson explain what Tangible Book Value is, why it's meaningful, and how it differs at companies like Bank of America (NYSE:BAC) and Google (NASDAQ:GOOGL).