Price to Book Value (P/BV)
since 2005
Calculation
Albemarle Corp., P/BV, long-term trends, calculation
| P/BV | = | Share price1, 2, 3 | ÷ | Book value per share1 (BVPS) | BVPS1 | = | Total Albemarle Corporation shareholders’ equity1 (in thousands) |
÷ | No. shares of common stock outstanding2 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|
| Feb 15, 2023 | 4.01 | = | 272.79 | ÷ | 68.11 | 68.11 | = | 7,982,627 | ÷ | 117,197,977 | |
| Feb 22, 2022 | 3.99 | = | 191.85 | ÷ | 48.06 | 48.06 | = | 5,625,266 | ÷ | 117,036,615 | |
| Feb 19, 2021 | 4.27 | = | 156.17 | ÷ | 36.60 | 36.60 | = | 4,268,227 | ÷ | 116,632,439 | |
| Feb 26, 2020 | 2.31 | = | 85.65 | ÷ | 37.02 | 37.02 | = | 3,932,250 | ÷ | 106,206,157 | |
| Feb 27, 2019 | 2.72 | = | 92.28 | ÷ | 33.90 | 33.90 | = | 3,585,321 | ÷ | 105,753,864 | |
| Feb 28, 2018 | 3.02 | = | 100.43 | ÷ | 33.21 | 33.21 | = | 3,674,549 | ÷ | 110,638,449 | |
| Feb 28, 2017 | 3.01 | = | 101.51 | ÷ | 33.71 | 33.71 | = | 3,795,062 | ÷ | 112,566,316 | |
| Feb 29, 2016 | 1.94 | = | 56.22 | ÷ | 28.99 | 28.99 | = | 3,254,392 | ÷ | 112,250,676 | |
| Mar 2, 2015 | 4.68 | = | 56.68 | ÷ | 12.12 | 12.12 | = | 1,359,465 | ÷ | 112,155,745 | |
| Feb 25, 2014 | 3.14 | = | 64.28 | ÷ | 20.47 | 20.47 | = | 1,627,361 | ÷ | 79,497,921 | |
| Feb 15, 2013 | 3.17 | = | 65.42 | ÷ | 20.64 | 20.64 | = | 1,833,598 | ÷ | 88,836,443 | |
| Feb 22, 2012 | 3.70 | = | 66.19 | ÷ | 17.89 | 17.89 | = | 1,591,277 | ÷ | 88,937,768 | |
| Feb 25, 2011 | 3.70 | = | 57.24 | ÷ | 15.45 | 15.45 | = | 1,416,074 | ÷ | 91,633,335 | |
| Feb 26, 2010 | 2.84 | = | 37.49 | ÷ | 13.20 | 13.20 | = | 1,205,696 | ÷ | 91,314,008 | |
| Feb 27, 2009 | 1.66 | = | 19.35 | ÷ | 11.66 | 11.66 | = | 1,065,771 | ÷ | 91,377,788 | |
| Feb 29, 2008 | 2.71 | = | 37.94 | ÷ | 13.98 | 13.98 | = | 1,278,305 | ÷ | 91,407,676 | |
| Mar 1, 2007 | 3.79 | = | 40.98 | ÷ | 10.80 | 10.80 | = | 1,028,098 | ÷ | 95,174,444 | |
| Mar 15, 2006 | 2.24 | = | 22.05 | ÷ | 9.85 | 9.85 | = | 930,275 | ÷ | 94,462,906 |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
1 US$
2 Data adjusted for splits and stock dividends.
3 Closing price as at the filing date of Albemarle Corp. Annual Report.
The Price to Book Value (P/BV) ratio exhibits significant volatility over the analyzed period from 2006 to 2023, reflecting shifts in market sentiment and changes in the underlying equity value. While the ratio frequently fluctuates, it generally oscillates between a floor of approximately 1.66 and a ceiling of 4.68, suggesting a market valuation that typically trades at a multiple of two to four times the book value.
- Historical Valuation Trends
- From 2006 to 2009, the P/BV ratio experienced a period of instability, peaking at 3.79 in 2007 before dropping to a period low of 1.66 in 2009. This contraction coincided with a decrease in the share price from 40.98 to 19.35. A subsequent recovery occurred between 2010 and 2014, where the ratio stabilized within a tighter range of 2.84 to 3.70.
- Anomalies in Book Value and Valuation
- A notable divergence is observed in 2015, where the P/BV ratio reached its historical peak of 4.68. This spike was primarily driven by a sharp contraction in the Book Value per Share (BVPS), which fell from 20.47 in 2014 to 12.12 in 2015, despite the share price remaining relatively stable. This trend reversed sharply in 2016, as the P/BV ratio fell to 1.94, corresponding with a significant increase in BVPS to 28.99.
- Recent Valuation Expansion
- Between 2017 and 2020, the P/BV ratio remained relatively range-bound, moving between 2.31 and 3.02. However, a distinct upward shift in valuation is evident starting in 2021. The ratio rose to 4.27 in 2021 and maintained a level around 4.00 through 2023. This recent expansion is characterized by a substantial increase in the share price, which grew from 85.65 in 2020 to 272.79 in 2023, outpacing the growth of the book value.
- Relationship Between Price and Book Value
- Long-term growth in the Book Value per Share is evident, rising from 9.85 in 2006 to 68.11 in 2023. While the BVPS has increased more than six-fold, the P/BV ratio indicates that the market's willingness to pay a premium over the accounting value has also expanded, particularly in the final three years of the period, suggesting increased investor confidence or higher growth expectations.
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Comparison to Competitors
Albemarle Corp., P/BV, long-term trends, comparison to competitors
| Albemarle Corp. | Linde plc | Sherwin-Williams Co. | |
|---|---|---|---|
| Feb 15, 2023 | 4.01 | 4.28 | 18.55 |
| Feb 22, 2022 | 3.99 | 3.38 | 28.55 |
| Feb 19, 2021 | 4.27 | 2.78 | 17.79 |
| Feb 26, 2020 | 2.31 | 2.15 | 12.82 |
| Feb 27, 2019 | 2.72 | 1.65 | 10.93 |
| Feb 28, 2018 | 3.02 | 7.15 | 10.14 |
| Feb 28, 2017 | 3.01 | 6.83 | 15.52 |
| Feb 29, 2016 | 1.94 | 6.61 | 27.61 |
| Mar 2, 2015 | 4.68 | 6.60 | 27.40 |
| Feb 25, 2014 | 3.14 | 5.66 | 11.24 |
| Feb 15, 2013 | 3.17 | 5.48 | 9.32 |
| Feb 22, 2012 | 3.70 | 5.93 | 6.93 |
| Feb 25, 2011 | 3.70 | 5.08 | 5.51 |
| Feb 26, 2010 | 2.84 | 4.38 | 4.73 |
| Feb 27, 2009 | 1.66 | 4.54 | 3.37 |
| Feb 29, 2008 | 2.71 | 5.13 | 3.66 |
| Mar 1, 2007 | 3.79 | 4.34 | 4.49 |
| Mar 15, 2006 | 2.24 | 4.54 | 3.40 |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Sector (Chemicals)
Albemarle Corp., P/BV, long-term trends, comparison to sector (chemicals)
| Albemarle Corp. | Chemicals | |
|---|---|---|
| Feb 15, 2023 | 4.01 | 5.31 |
| Feb 22, 2022 | 3.99 | 4.70 |
| Feb 19, 2021 | 4.27 | 3.84 |
| Feb 26, 2020 | 2.31 | 2.98 |
| Feb 27, 2019 | 2.72 | 2.27 |
| Feb 28, 2018 | 3.02 | 8.28 |
| Feb 28, 2017 | 3.01 | 9.20 |
| Feb 29, 2016 | 1.94 | 10.08 |
| Mar 2, 2015 | 4.68 | 9.74 |
| Feb 25, 2014 | 3.14 | 6.84 |
| Feb 15, 2013 | 3.17 | 6.36 |
| Feb 22, 2012 | 3.70 | 6.14 |
| Feb 25, 2011 | 3.70 | 5.17 |
| Feb 26, 2010 | 2.84 | 4.46 |
| Feb 27, 2009 | 1.66 | 4.21 |
| Feb 29, 2008 | 2.71 | 4.75 |
| Mar 1, 2007 | 3.79 | 4.39 |
| Mar 15, 2006 | 2.24 | 4.19 |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Industry (Materials)
Albemarle Corp., P/BV, long-term trends, comparison to industry (materials)
| Albemarle Corp. | Materials | |
|---|---|---|
| Feb 15, 2023 | 4.01 | 4.93 |
| Feb 22, 2022 | 3.99 | 4.66 |
| Feb 19, 2021 | 4.27 | 3.99 |
| Feb 26, 2020 | 2.31 | 2.82 |
| Feb 27, 2019 | 2.72 | 2.21 |
| Feb 28, 2018 | 3.02 | 6.06 |
| Feb 28, 2017 | 3.01 | 6.38 |
| Feb 29, 2016 | 1.94 | 4.76 |
| Mar 2, 2015 | 4.68 | 3.49 |
| Feb 25, 2014 | 3.14 | 3.14 |
| Feb 15, 2013 | 3.17 | 3.18 |
| Feb 22, 2012 | 3.70 | 3.71 |
| Feb 25, 2011 | 3.70 | 4.42 |
| Feb 26, 2010 | 2.84 | 3.94 |
| Feb 27, 2009 | 1.66 | 3.16 |
| Feb 29, 2008 | 2.71 | 2.84 |
| Mar 1, 2007 | 3.79 | 4.45 |
| Mar 15, 2006 | 2.24 | 4.50 |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).