Definitions for "Q ratio"
Keywords:  tobin, yale, laureate, james, nobel
Market value of a firm's assets divided by replacement value of the firm's assets. Named after James Tobin of Yale University.
The market value of the firm to its replacement cost. Tobin's Q ratio is a measure of a firm's growth opportunities: it compares the market value of the firm with the replacement cost of the firm's assets. A Tobin's Q greater than 1.0 indicates investors have a positive outlook for the firm's growth opportunities. This ratio is named after Nobel Economics Laureate James Tobin of Yale University.
Or, "Tobin's Q". The ratio of the market value of a firm to the replacement cost of everything in the firm. In Tobin's model this was the driving force behind investment decisions. Source: econterms