Asset value represents the total worth of an entity’s assets. It encompasses tangible assets like real estate, equipment, and cash, as well as intangible assets such as intellectual property or goodwill.
Calculated by deducting liabilities from total assets, asset value is a key metric for assessing an organization’s financial health and net worth.
Investors and analysts use this value to evaluate the company’s viability, investment potential, and overall financial stability, providing insights into its ability to generate future returns.