> For the complete documentation index, see [llms.txt](https://smart-dragon.gitbook.io/smartdragon/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://smart-dragon.gitbook.io/smartdragon/smartdragon-support-1/smart-invest/financial-ratios/corporate-financial-ratio/valuation-ratios.md).

# Valuation ratios

The valuation ratios reflect the intrinsic value compared to the market value of the business.

* **Capitalization** - The total current market value of an enterprise.
* **Enterprise Value EV** - The total value of the enterprise, including all of the ownership, claims, and equity of a company.&#x20;
* **P/E** - The relationship between a stock's market price and earnings per share.&#x20;
* **EPS** - Earnings after tax of a stock.&#x20;
* **P/B** - Compares the price of a stock to the stock's book value.&#x20;
* **Book value per share (BVPS)** - The actual value of the enterprise per share.&#x20;
* **P/S** - Measures market price on revenue per share.&#x20;
* **P/CF** - Measures the value of a stock's price relative to its operating cash flow per share.&#x20;
* **EV/EBIT** - Compares the total value of an enterprise to its share of EBIT profits earned annually.&#x20;
* **EV/Net Revenue** - Compares the enterprise value with revenue.

<img src="https://922959023-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FGagDZmQWo5LSdfmj78UE%2Fuploads%2Fxt2FTuha6syhzbseGl1n%2Ffile.drawing.svg?alt=media&amp;token=39f27c49-f7aa-4cea-b071-8d8a03325c2c" alt="Valuation ratios" class="gitbook-drawing">
