Capital reserve per share
factor.formula
The calculation formula of capital reserve per share is:
in:
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It represents the total amount of capital reserve at the end of the most recent reporting period, which comes from various capital investments other than the company's operating activities, such as issuing shares at a premium, accepting donations, etc. Capital reserve is part of shareholders' equity and represents the company's potential capital in the future.
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It indicates the total number of common shares at the end of the most recent reporting period. It should be noted that the common shares used here do not include other types of shares such as preferred shares.
factor.explanation
Capital reserve per share reflects the share of capital reserve owned by each common share of the company. A higher capital reserve per share may indicate that the company has stronger potential for equity expansion and risk resistance, because capital reserve can be used to increase equity, thereby increasing the company's equity scale. Conversely, a lower capital reserve per share may mean that the company has less potential for equity expansion in the future. This indicator should be combined with the company's industry, historical data and other financial indicators for comprehensive analysis, and cannot be used alone as the sole basis for investment decisions.