Series 6: 7.4.1.5.5. Market Value Vs. Book Value Of An Equity Security

Taken from our Series 6 Top-off Online Guide

7.4.1.5.5. Market Value vs. Book Value of an Equity Security

For publicly traded stocks, the market value of the stock is the share price at which it is currently trading. The market value of the company is its market capitalization. As we have seen:

market capitalization = (market share price) x (number of shares outstanding)

The book value of a stock is the shareholders’ equity for common stock divided by the number of shares of common stock. This is called the stated book value of the stock. Stated book value is the theoretical amount of money left over for common stockholders if the company is forced to liquidate.

Book value represen

+ Read More

More Series 6 Info

What are people saying?

Create an Account

Since you're reading about Series 6: 7.4.1.5.5. Market Value Vs. Book Value Of An Equity Security, you might also be interested in:

Series 79 - Composite Indexes

Series 6 - 1.2.1. Underwriting a Securities Issue

Series 7 - 5.3.3.1 Debit Call Spread

Series 82 - Corporate Accounts

Series 53 - Annual Affirmation

Series 14 - 2.3.3.2. Designated Market Makers (DMMs)

Series 52 - 4.5.3. Sinking Fund

Series 63 - Agent – Definition

Series 24 - Insider Beneficial Ownership Reports

Series 7 - 7.4. Private Equity

Series 65 - Regulation of Securities and Issuers

Please Enable Javascript
to view this content!

Site Login

TESTIMONIALS

What are people saying?

Well, I am back! Solomon did it again. I passed the Series 6. All of Solomons materials throughly prepared me for the passing of the SIE and the Series 6. Whose materials will I use for the Series 63? I am glad you asked. I must say it will be Solomon Exam Prep. Thanks again, Solomon your study materials are the best!

Leanene Carriere. Houston, TX

A more recent update after taking my Series 7 exam: Within one year of joining the financial industry, Solomon materials have gotten me a 100%, 4 for 4 pass rate with the SIE, S6, 63 and S7 all completed within 10 months. Once again, the materials and practice tests prepared me for the S7 exam better than I could've imagined. I will continue to refer people to Solomon, as the material, customer service, and whole experience has been unmatched.

Alex Coyne, Northwestern Mutual. Pensacola, FL

I utilized the Solomon SIE and Series 6 Top-Off study guide package. I passed on the first time by following the exact recommendations. While the test is different than the study exam questions it covers the content in a detailed way preparing you to successfully pass the exam. Great product and customer service!

Michael Gehrich, Allstate Insurance, Ft Myers, FL

THANK YOU SOLOMON! I passed the SIE in December and Series 6 in February. I do not have a background in finance. The study materials prepared me wonderfully for the exams. I used the study schedule - took a ton of practice exams and re-read the material. Also, the testimonials were very encouraging, so I had to share that I had the same amazing experience. Thank you so much!

Candace Chavez, Cetera Investment Services. Wimberley, TX

After failing the SIE with a different study company, I passed after using Solomon! I then passed the S6, S63 and S65 on the first try after studying with Solomon materials! I loved how easy the material was to comprehend and the practice tests were amazing! I felt well prepared for each test! Thank you Solomon!

Sara Hays, State Farm. Atascadero, CA

Thank you so much for your great study materials! I have used you to pass my Series 6, 63 and most recently my Series 7 all on the first try. The practice exams and video lectures were great and extremely helpful. Will definitely be using your study material for any future exams and will recommend you to other people

Louis Orsatti, NY LIFE Securities, Boston, MA