Company analysis
What is book value?
What the company would be worth on paper if it sold everything and paid its debts.
Explained in more detail
It is assets minus liabilities, as recorded in the accounts. It is a rough floor for asset-heavy businesses such as banks, and close to meaningless for businesses whose value sits in brands or software.
An example
For instanceA company with ₹500 crore of assets and ₹200 crore of debts has a ₹300 crore book value.
Why this matters to you
You will meet this word in broker apps, company results and market news. Knowing what it means is not the goal on its own. The goal is being able to judge whether a number is good or bad for the investment you are actually holding.
On AlphaVik, any time book value appears in a view or a lesson, you can hover or tap the word and this explanation comes with it. You never have to leave the page to look something up.