Price/Book of Retrophin, Inc.
The price to book ratio, or P/B ratio, is a financial ratio used to compare a company's current market price to its book value. It is also sometimes known as a market to book ratio or price to equity ratio. The calculation of a price to book ratio can be performed in two ways. It can be calculated as the company's market capitalization divided by the company's total book value from its balance sheet. It can also be calculated using per-share values and dividing a company's current share price by the book value per share (i.e. its book value divided by the number of outstanding shares).
The P/B ratio varies between industries. The industries that require more infrastructure capital (for each dollar of profit) will usually trade at P/B ratios much lower than, for example, consulting firms. P/B ratios are commonly used to compare banks, because most assets and liabilities of banks are constantly valued at market values. A higher P/B ratio implies that investors expect management to create more value from a given set of assets, all else equal (and/or that the market value of the firm's assets is significantly higher than their accounting value).
P/B ratios do not, however, directly provide any information on the ability of the firm to generate profits or cash for shareholders. This ratio also gives some idea of whether an investor is paying too much for what would be left if the company went bankrupt immediately. For companies in distress, the book value is usually calculated without the intangible assets that would have no resale value. In such cases, P/B should also be calculated on a "diluted" basis, because stock options may well vest on sale of the company or change of control or firing of management.
Retrophin, Inc., a biopharmaceutical company, focuses on the development, acquisition, and commercialization of therapies for the treatment of serious or rare diseases. Its marketed products include Chenodal, a synthetic oral form of chenodeoxycholic acid for the treatment of radiolucent stones in well-opacifying gallbladders; Cholbam, a cholic acid capsule to treat pediatric and adult patients with bile acid synthesis disorders due to single enzyme defects, and for adjunctive treatment of patients with peroxisomal disorders; and Thiola, a tiopronin tablet for the treatment of cystinuria. The company's product candidates consist of Sparsentan, which is in Phase III clinical trial for the treatment of focal segmental glomerulosclerosis; Fosmetpantotenate, a novel small molecule that is in Phase III clinical trial to treat pantothenate kinase-associated neurodegeneration; Tetracosactide Zinc (RE-034), a synthetic hormone analog that is in preclinical stage; and Liquid Ursodeoxycholic Acid, a liquid formulation of ursodeoxycholic acid, which is in preclinical stage to treat primary biliary cholangitis. Retrophin, Inc. was founded in 2011 and is headquartered in San Diego, California.
|BOH Bank of Hawaii Corporation||NYSE > Finance > Major Banks||2.93|
|BLD TopBuild Corp.||NYSE > Basic Industries > Engineering & Construction||2.93|
|BREW Craft Brew Alliance, Inc.||NASDAQ > Consumer Non-Durables > Beverages (Production/Distribution)||2.93|
|CSSE Chicken Soup for the Soul Entertainment, Inc.||NASDAQ > Consumer Services > Movies/Entertainment||2.93|
|FNV Franco-Nevada Corporation||NYSE > Basic Industries > Precious Metals||2.93|
|ACXM Acxiom Corporation||NASDAQ > Technology > EDP Services||2.93|
|RTRX Retrophin, Inc.||NASDAQ > Health Care > Major Pharmaceuticals||2.93|
|BRACU Black Ridge Acquisition Corp.||NASDAQ > Finance > Business Services||1,482.86|
|VNCE Vince Holding Corp.||NYSE > Consumer Services > Clothing/Shoe/Accessory Stores||1,676.00|
|ANTH Anthera Pharmaceuticals, Inc.||NASDAQ > Health Care > Major Pharmaceuticals||1,690.00|
|W Wayfair Inc.||NYSE > Consumer Services > Catalog/Specialty Distribution||2,786.29|
|HYAC Haymaker Acquisition Corp.||NASDAQ||3,183.33|
|CMSS CM Seven Star Acquisition Corporation||NASDAQ > Finance > Business Services||4,865.00|