Price to Book Value (P/BV)
since 2005
Calculation
Corning Inc., P/BV, long-term trends, calculation
| P/BV | = | Share price1, 2, 3 | ÷ | Book value per share1 (BVPS) | BVPS1 | = | Total Corning Incorporated shareholders’ equity1 (in millions) |
÷ | No. shares of common stock outstanding2 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|
| Feb 12, 2024 | 2.38 | = | 32.18 | ÷ | 13.53 | 13.53 | = | 11,551 | ÷ | 853,474,317 | |
| Feb 13, 2023 | 2.51 | = | 35.67 | ÷ | 14.18 | 14.18 | = | 12,008 | ÷ | 846,563,422 | |
| Feb 14, 2022 | 2.83 | = | 41.29 | ÷ | 14.58 | 14.58 | = | 12,333 | ÷ | 845,849,498 | |
| Feb 12, 2021 | 2.14 | = | 36.88 | ÷ | 17.25 | 17.25 | = | 13,257 | ÷ | 768,367,889 | |
| Feb 18, 2020 | 1.65 | = | 27.97 | ÷ | 16.90 | 16.90 | = | 12,907 | ÷ | 763,628,266 | |
| Feb 12, 2019 | 1.94 | = | 34.02 | ÷ | 17.53 | 17.53 | = | 13,792 | ÷ | 786,761,073 | |
| Feb 15, 2018 | 1.61 | = | 29.54 | ÷ | 18.31 | 18.31 | = | 15,698 | ÷ | 857,453,098 | |
| Feb 6, 2017 | 1.39 | = | 26.71 | ÷ | 19.28 | 19.28 | = | 17,893 | ÷ | 928,093,508 | |
| Feb 12, 2016 | 1.09 | = | 18.39 | ÷ | 16.88 | 16.88 | = | 18,788 | ÷ | 1,112,837,205 | |
| Feb 13, 2015 | 1.47 | = | 25.00 | ÷ | 16.97 | 16.97 | = | 21,579 | ÷ | 1,271,340,532 | |
| Feb 10, 2014 | 1.21 | = | 18.43 | ÷ | 15.20 | 15.20 | = | 21,162 | ÷ | 1,392,124,762 | |
| Feb 13, 2013 | 0.88 | = | 12.78 | ÷ | 14.59 | 14.59 | = | 21,486 | ÷ | 1,472,398,789 | |
| Feb 13, 2012 | 0.98 | = | 13.67 | ÷ | 13.88 | 13.88 | = | 21,078 | ÷ | 1,518,270,483 | |
| Feb 10, 2011 | 1.79 | = | 22.16 | ÷ | 12.37 | 12.37 | = | 19,375 | ÷ | 1,565,707,084 | |
| Feb 10, 2010 | 1.76 | = | 17.52 | ÷ | 9.97 | 9.97 | = | 15,543 | ÷ | 1,558,884,218 | |
| Feb 24, 2009 | 1.17 | = | 10.14 | ÷ | 8.64 | 8.64 | = | 13,443 | ÷ | 1,555,025,555 | |
| Feb 15, 2008 | 3.83 | = | 23.08 | ÷ | 6.03 | 6.03 | = | 9,496 | ÷ | 1,574,635,950 | |
| Feb 27, 2007 | 4.41 | = | 20.38 | ÷ | 4.62 | 4.62 | = | 7,246 | ÷ | 1,569,697,474 | |
| Feb 24, 2006 | 6.96 | = | 24.70 | ÷ | 3.55 | 3.55 | = | 5,487 | ÷ | 1,545,982,974 |
Based on: 10-K (reporting date: 2023-12-31), 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 Corning Inc. Annual Report.
The financial data from 2006 to 2024 reveals a significant cyclical shift in valuation multiples, characterized by an initial period of steep compression, a prolonged phase of undervaluation, and a subsequent recovery toward a moderate premium.
- Price to Book Value (P/BV) Volatility
- A sharp contraction in the P/BV ratio occurred between 2006 and 2009, falling from a peak of 6.96 to 1.17. Following this decline, the ratio remained suppressed for several years, reaching its lowest points in 2012 and 2013, where the ratio dipped below 1.0 (0.98 and 0.88, respectively). This indicates a period where the market valued the equity at less than its accounting book value.
- Valuation Recovery and Re-rating
- Starting in 2014, a consistent upward trend in the P/BV ratio is observed, rising from 1.21 to a peak of 2.83 in 2022. This period suggests a market re-rating of the company's assets and growth prospects. In the most recent two years, the ratio has stabilized, settling at 2.38 by February 2024.
- Book Value per Share (BVPS) Trajectory
- BVPS exhibited steady growth for over a decade, increasing from 3.55 in 2006 to a peak of 19.28 in 2017. However, since 2017, there has been a gradual downward trend in book value, decreasing to 13.53 by 2024. The divergence between the rising P/BV ratio and the falling BVPS after 2017 indicates that the increase in valuation was driven primarily by share price appreciation rather than growth in net assets.
- Share Price Correlation
- The share price has demonstrated significant volatility, with a notable trough in 2009 at 10.14 and a peak in 2022 at 41.29. While the share price recovered more aggressively than the book value, the overall P/BV ratio remains substantially lower than the 2006 levels, suggesting a fundamental shift in how the market prices the company's book value compared to the mid-2000s.
In summary, the data reflects a transition from an era of high valuation premiums to a period of deep undervaluation, concluding with a moderate recovery. The recent trend indicates a stabilization of the valuation multiple despite a continuing decline in the book value per share.
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Comparison to Competitors
Corning Inc., P/BV, long-term trends, comparison to competitors
| Corning Inc. | Apple Inc. | Arista Networks Inc. | Cisco Systems Inc. | Dell Technologies Inc. | Lumentum Holdings Inc. | Super Micro Computer Inc. | |
|---|---|---|---|---|---|---|---|
| Feb 12, 2024 | 2.38 | 44.21 | 11.50 | 5.19 | — | 2.62 | 6.85 |
| Feb 13, 2023 | 2.51 | 48.89 | 8.87 | 4.69 | — | 3.31 | 2.54 |
| Feb 14, 2022 | 2.83 | 38.96 | 10.05 | 5.99 | 27.38 | 3.19 | 1.65 |
| Feb 12, 2021 | 2.14 | 28.33 | 7.15 | 4.57 | — | 3.61 | 1.35 |
| Feb 18, 2020 | 1.65 | 12.21 | 5.91 | 6.12 | — | 2.77 | 1.21 |
| Feb 12, 2019 | 1.94 | 8.93 | 9.33 | 5.00 | — | 4.66 | 1.33 |
| Feb 15, 2018 | 1.61 | 6.61 | 11.10 | 2.38 | — | 5.57 | 1.28 |
| Feb 6, 2017 | 1.39 | 4.81 | 7.63 | 2.48 | — | 4.26 | 1.44 |
| Feb 12, 2016 | 1.09 | 5.57 | 5.86 | 2.23 | — | 2.63 | 2.08 |
| Feb 13, 2015 | 1.47 | 5.53 | 8.22 | 2.24 | — | — | 2.56 |
| Feb 10, 2014 | 1.21 | 3.82 | — | 2.19 | — | — | 1.51 |
| Feb 13, 2013 | 0.88 | 4.74 | — | 1.97 | — | — | 1.63 |
| Feb 13, 2012 | 0.98 | 4.86 | — | 1.86 | — | — | 1.78 |
| Feb 10, 2011 | 1.79 | 5.91 | — | 2.73 | — | — | 1.64 |
| Feb 10, 2010 | 1.76 | 6.39 | — | 3.46 | — | — | 1.56 |
| Feb 24, 2009 | 1.17 | 4.37 | — | 3.83 | — | — | 2.20 |
| Feb 15, 2008 | 3.83 | 9.90 | — | 6.20 | — | — | 2.20 |
| Feb 27, 2007 | 4.41 | 7.30 | — | 5.80 | — | — | — |
| Feb 24, 2006 | 6.96 | 8.09 | — | 4.92 | — | — | — |
Based on: 10-K (reporting date: 2023-12-31), 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 (Technology Hardware & Equipment)
Corning Inc., P/BV, long-term trends, comparison to sector (technology hardware & equipment)
| Corning Inc. | Technology Hardware & Equipment | |
|---|---|---|
| Feb 12, 2024 | 2.38 | 27.27 |
| Feb 13, 2023 | 2.51 | 28.45 |
| Feb 14, 2022 | 2.83 | 24.77 |
| Feb 12, 2021 | 2.14 | 19.33 |
| Feb 18, 2020 | 1.65 | 11.13 |
| Feb 12, 2019 | 1.94 | 7.77 |
| Feb 15, 2018 | 1.61 | 5.24 |
| Feb 6, 2017 | 1.39 | 4.05 |
| Feb 12, 2016 | 1.09 | 4.45 |
| Feb 13, 2015 | 1.47 | 4.43 |
| Feb 10, 2014 | 1.21 | 3.29 |
| Feb 13, 2013 | 0.88 | 3.89 |
| Feb 13, 2012 | 0.98 | 3.71 |
| Feb 10, 2011 | 1.79 | 4.38 |
| Feb 10, 2010 | 1.76 | 4.68 |
| Feb 24, 2009 | 1.17 | 4.03 |
| Feb 15, 2008 | 3.83 | 7.36 |
| Feb 27, 2007 | 4.41 | 6.24 |
| Feb 24, 2006 | 6.96 | 5.69 |
Based on: 10-K (reporting date: 2023-12-31), 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 (Information Technology)
Corning Inc., P/BV, long-term trends, comparison to industry (information technology)
| Corning Inc. | Information Technology | |
|---|---|---|
| Feb 12, 2024 | 2.38 | 11.29 |
| Feb 13, 2023 | 2.51 | 10.25 |
| Feb 14, 2022 | 2.83 | 12.37 |
| Feb 12, 2021 | 2.14 | 10.94 |
| Feb 18, 2020 | 1.65 | 8.41 |
| Feb 12, 2019 | 1.94 | 7.00 |
| Feb 15, 2018 | 1.61 | 5.46 |
| Feb 6, 2017 | 1.39 | 4.53 |
| Feb 12, 2016 | 1.09 | 4.30 |
| Feb 13, 2015 | 1.47 | 4.36 |
| Feb 10, 2014 | 1.21 | 3.50 |
| Feb 13, 2013 | 0.88 | 3.75 |
| Feb 13, 2012 | 0.98 | 3.98 |
| Feb 10, 2011 | 1.79 | 4.16 |
| Feb 10, 2010 | 1.76 | 4.31 |
| Feb 24, 2009 | 1.17 | 4.00 |
| Feb 15, 2008 | 3.83 | 8.64 |
| Feb 27, 2007 | 4.41 | 7.24 |
| Feb 24, 2006 | 6.96 | 7.40 |
Based on: 10-K (reporting date: 2023-12-31), 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).