Market Value of 100 Companies on the Stock Exchange Remains Below Half of Their Equity

A Market Value to Book Value ratio screening conducted on the stock exchange revealed that the market value of all 100 companies examined does not exceed 41% of their equity. While Zorlu Enerji, Menderes Tekstil, and Mega Polietilen emerged as the companies with the lowest multiples at a ratio of 0.15, Turkish Airlines, which has an equity exceeding 1 trillion TL, also featured on the list.

General Ratios in the Screening

In a screening conducted for companies trading below their book value, it was determined that the P/B (Price-to-Book) ratio of all 100 stocks is 0.41 or lower. Even for the companies at the other end of the list, market value does not reach half of their equity.

Companies with the Lowest Ratios

Zorlu Enerji, Menderes Tekstil, and Mega Polietilen stand out as the companies with the lowest multiples on the list, with a P/B ratio of 0.15. In these three companies, the market value is at approximately 15% of the book value.

Status of the Top Ten Companies

The companies at the 0.15 level are followed by Vestel Beyaz Eşya and İhlas Gazetecilik at 0.16, Uşak Seramik at 0.17, Yeşil Yapı at 0.18, and Loras Holding, Güler Yatırım Holding, and Sinpaş GMYO with ratios of 0.20. Among the top 10 companies, the P/B ratio remains at 0.20 or below.

Companies at the One-Quarter Threshold

The number of companies with a P/B ratio of 0.25 or lower reaches 34. While Adese Gayrimenkul, Net Holding, Vera Konsept GMYO, Kızılbük GYO, and Kayseri Şeker Fabrikası are at the 0.21 level, approximately one-third of the list trades at a market value of one-quarter or less of their book value.

Concentration of Real Estate and Energy

It is observed that real estate investment trusts and energy companies are predominant among the companies with low P/B ratios. The nature of the gap between book value and market value in these asset-heavy sectors draws attention.

Turkish Airlines is Also on the List

Turkish Airlines, which holds a very different position in terms of scale, also features on this list with an equity of 1.01852 trillion TL against a market value of 400.89 billion TL and a P/B ratio of 0.39.

Expert Warnings for Investors

Experts emphasize that a low P/B ratio does not solely mean a cheap stock. It is stated that factors such as why the market prices equity so low, along with elements like company profitability, indebtedness, and asset quality, must be examined.