Stock Valuation
Stock Valuation records the periodic valuation of company shares. The value per share is total equity divided by the number of shares, and the latest valuation is what Dividend Calculation and Stockholders use.
Used By
operational admin according to menu access rights
Data Type
transaction
Search Key
Transaction Date
When to Use This Form
- When the company sets the share value for the current period.
- Before running Dividend Calculation: it refuses to run without a valuation dated on or before the dividend period end.
- When the share value trend across periods needs monitoring.
Before You Start
- Make sure the total equity for the period is final.
- Make sure the number of shares matches the recorded share movements.
- Fill in the percentage of profit distributed as dividend, because Dividend Calculation reads it from here.
Workflow
- Open Equity / Overview & Transactions / Stock Valuation.
- Fill in the valuation date.
- Fill in total equity and the number of shares; the value per share is calculated automatically.
- Fill in the percentage of profit distributed as dividend.
- Save. The value change and shareholder count fill themselves in.
Fields That Need Attention
| Field | Explanation for Users | Status |
|---|---|---|
Transaction Date
transdate |
The date the valuation takes effect. The latest valuation before the dividend period end is the one the calculation uses. | Required |
Total Equity
totalequity |
The value of all company equity on the valuation date. | Required |
Number of Shares
numberofshares |
The divisor for the value per share. | Required |
Stock Value
stockvalue |
Total equity divided by the number of shares. Calculated by the application. | Automatic |
Share Value Change (%)
stockvaluechange |
The difference against the previous valuation. Calculated by the application; the first valuation is zero because there is nothing to compare against. | Automatic |
Number of Shareholders
stockholdercount |
How many shareholders still hold a positive share balance on the valuation date. Calculated with the same rule as the Stockholders report. | Automatic |
Ownership Percentage
percentdividend |
The percentage of profit distributed as dividend. Read by Dividend Calculation. | Optional |
What Happens After Saving
- The valuation becomes the share value reference for Dividend Calculation and Stockholders.
- The value change is computed against the previous valuation, so re-saving an old valuation does not change its percentage.
- The Stock Valuation report shows the history of all valuations.
Common Issues
- Dividend Calculation refuses to run: no valuation is dated on or before the dividend period end.
- The value change is always zero: the first valuation is zero by definition; later ones compare against the previous valuation.
- The shareholder count is zero: no stock purchase has been approved up to the valuation date.
User Checklist
Menu Location
- Equity / Overview & Transactions / Stock Valuation
/form/equitystockvaluation