Tangible Common Equity

Metadata

  • Id: tangible_common_equity
  • Type: fundamentals
  • Subtype: balance_sheet
  • Units: currency
  • Decimal Points: 0
  • Currency Convertible: Yes
  • Tags: “Tangible Common Equity”, “TCE”, “Tangible Equity”, “Net Tangible Asset Value”, “Tangible Shareholders’ Equity”

Description

Tangible Common Equity is a way to calculate how much money a company has in its physical assets that belongs to the owners of the common stock. It shows how much money would be left for the common shareholders if the company sold all its tangible assets and paid all its liabilities and preferred shareholders. It does not include any intangible assets such as patents, trademarks, or goodwill. It can help measure a company’s financial strength and ability to deal with potential losses. The formula for Tangible Common Equity is:
Tangible Common Equity = Total Equity - Preferred Equity - Intangible Assets
Where: - Total Equity is BS072, bs_total_equity - Preferred Equity is BS063, bs_pfd_eqty_and_hybrid_cptl - Intangible Assets is BS029, bs_disclosed_intangibles