Margin of Safety
The difference between a stock's intrinsic value (e.g., from DCF analysis) and its current market price. A positive margin of safety means you're buying below estimated fair value, providing a buffer against estimation errors.
The difference between a stock's intrinsic value (e.g., from DCF analysis) and its current market price. A positive margin of safety means you're buying below estimated fair value, providing a buffer against estimation errors.