To arrive at this number, subtract liabilities from assets. The royal bank of scotland group plc 2020 q1 results earnings call presentation may. During the past 12 months, the royal bank of scotland groups average book value per share growth rate was 5. Should i buy royal bank scotland plc the rbs zacks.
A pb of 2 means its selling at 2 times its book value. It indicates the level of safety associated with each common share after removing the effects of liabilities. Are bank stock investors ready for lower dividends and. Book value of an asset refers to the value of an asset when depreciation is accounted for. For the past 10 years, shares in the firm have traded below book value as. During the past 3 years, the average book value per share growth rate was 4.
Indepth view of key statistics and finances for the royal bank of scotland group public limited company rbs on msn money. Diversified industry, the book value per share for all stocks is 99. The book value per share is a market value ratio that weighs stockholders equity against shares outstanding. Breakingviews rbs stake sale makes the best of a bad job. Royal bank scotland book value per share 20062019 rbs.
Pricecash flow latest closing price of the stock divided by the last twelve months revenuecash flow per share. An intrinsic value calculation for the royal bank of. Historical price to book ratio values for royal bank scotland rbs over the last 10 years. Book value per share is a widely used stock evaluation measure. Rbs expects 20 to be the final year of restructuring so, assuming a similar performance to last year, rbs may be left with 400 pence of tangible assets per share.
View recent trades and share price information for royal bank of scotland group plc rbs ord gbp1. In this scenario, the socalled pricetobook pb ratio is applied with a banks stock price compared to equity book value per share. The book value is essentially the tangible accounting value of a firm compared to the market value that is shown. Book value per share tells investors what a banks, or any stocks, book value is on a pershare basis. During the past 5 years, the average book value per share growth rate was 19.
Stock rbs royal bank of scotland stock price today. Get all the key statistics for lloyds banking group plc ord 10 lloy. Find out all the key statistics for royal bank of scotland group pl rbs, including valuation measures, fiscal year financial statistics, trading record, share statistics and more. Royal bank of scotland group price to book value rbs. View book value per share for rbs access over 100 stock metrics like beta, evebitda, pe10, free cash flow yield, kz index and cash conversion cycle. Excess return per share stable return on equity cost of equity book value of equity per share 6. During the past 5 years, the average book value per. Price to book value is a valuation ratio that is measured by stock price book value per share. Rbs royal bank of scotland group plc adr financial. Rbs share price forecast shows an optimistic longterm. The company provides a range of products and services to personal, commercial, corporate and institutional customers, through its subsidiaries, the royal bank of scotland plc and national westminster bank plc natwest, as well as through other brands, including ulster bank and. A pb of 1 means its selling at its per share book value. A stock that always appears on my value screens is ftse 100 bank royal bank of scotland lse. The latest royal bank of scotland group plc rbs ord gbp1 share price rbs.
Current and historical book value per share for royal bank scotland rbs from 2006 to 2019. Rbs book value per share the royal bank of scotland. So to derive the stocks excess return, its cost of equity 8. The royal bank of scotland groups book value per share for the quarter that ended in dec. Profitable banks deserve to trade at, or slightly above, tangible book value, which implies shares in rbs are worth around 290p today, 45% above current levels. Et on seeking alpha rbs gains 5% as q1 loss provision not as bad as others. During the past 3 years, the average book value per share growth rate was 22. Book valueshare the per share value of a company based on its equity available to common shareholders for the trailing 12 months. Latest closing price divided by the earningspershare based on the trailing 12 months. Royal bank of scotland group plc share price rbs ord.
Is the rbs share price a bargain or should i buy this. Our extensive personal banking products include bank accounts, mortgages, credit cards, loans and more. In other words, the value of all shares divided by the number of shares issued. Assuming a 284 pence tangible book value per share, that implies a 7 percent return on tangible equity. Royal bank scotland price to book ratio 20062019 rbs. Royal bank of scotland group book value per share rbs. The book value per share is calculated using historical costs, but the market value per share is a forwardlooking metric that takes into account a companys earning power in the future. With increases in a companys estimated profitability, expected growth.
Depreciation is the reduction of an items value over time. Pb is sometimes calculated as an absolute value, dividing a companys total market capitalization by the book. Rbs research and analysis for the royal bank of scotland. Book value per share is a good measure to value bank stocks. A financial ratio used to compare a companys current market price to its book value. Price to book ratio definition price to book value is a valuation ratio that is measured by stock price book value per share. The royal bank of scotland group plc rbs is a banking and financial services company. Royal bank of scotland group pl rbs valuation measures. The city is expecting rbs to distribute a total of 23p per share to investors for 2019. How to figure the book value of bank stock finance zacks. Find the latest book value per share for royal bank scotland plc the rbs. Telegraph investor royal bank of scotland group the. Royal bank of scotland online bank accounts, mortgages.
Royal bank scotland plc the rbs book value per share. The royal bank of scotland groups book value per share for the quarter that ended in mar. L, including valuation measures, fiscal year financial statistics, trading records, share statistics and more. Royal bank of scotland group plc new the ads rbs stock. Rbs stock royal bank of scotland group stock price. In accordance with recently published financial statements the book value per share of royal bank of scotland group pl is about 3.
Latest closing price divided by the last 12 months revenuecash flow per share. Royal bank of scotland if i am right, there are still big gains to come from rbs in 20 with its interim results, royal bank of scotland reported a net asset value per share of 476 pence. Excess return can be used then to generate a true intrinsic value per share, which, when trading closed on friday 12 april and shares were trading at 260. Royal bank of scotland group rbs q1 2020 earnings call transcript.
Get the latest royal bank of scotland group stock price and detailed information including rbs news, historical charts and realtime prices. Its time to buy royal bank of scotland the motley fool. During the past 12 months, the royal bank of scotland groups average book value per share growth rate was 6. Get all the key statistics for royal bank of scotland group pl rbs, including valuation measures, fiscal year financial statistics, trading records, share statistics and more. Pricebook a financial ratio used to compare a companys current market price to its book value. The current price to book ratio for royal bank scotland as of april 21, 2020 is 0. Book value per share can be defined as the amount of equity available to shareholders expressed on a per common share basis. The average pb ratio for banking firms, as of january 2018, is approximately 1. That was strong stock buybacks, rising dividends and a steadily rising book value per share.
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