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Margin of safety is the difference between the intrinsic value of a stock and its market price. To have a margin of safety, one must manage one's financial needs thriftily.

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12y ago

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What is a margin of safety as well as how it can help minimize risk. Use examples in your explanation.?

Margin of safety is the difference between the intrinsic value of a stock and its market price. To have a margin of safety, one must manage one's financial needs thriftily.


Explain why buying on margin can be a devastating thing?

Buying on margin can deplete a person's portfolio and can be a devastating thing.


Explain why buying on margin can be a profitable system?

Buying on margin is very profitable in a bull market and leveraging gives profits.


Explain why buing on margin can be a profitable system?

Buying on margin is profitable in a bull market especially when the stocks pay a high dividend.


What is the use of a phase shifting transformer?

minimize congestion, stability margin improvement, line overload reduction, power flow control


Explain how 'segment margin' differs from 'contribution margin'?

Contribution margin is the amount remaining from sales revenue once all variable costs have been removed ie. Contribution Margin = Sales Revenue - Variable Costs Segment margin is the margin available after a segment has covered all of its costs. It's one of the best ways to determine the long-term profitability of a segment. ie. Segment Margin = Segment's Contribution Margin - Fixed Costs traced to the Segment


What is the margin of the blade?

The edge of the blade should be called as edge of the blade. But in practice the cutting edge is probably called as margin of the blade. The expert in English language should explain better.


What is the continental margin margin?

the margin of the continental


Dispersive fade margin?

Just open the link below.. http://grouper.ieee.org/groups/802/16/sysreq/contributions/80216sc-99_13.pdf the explanation is very good !!


What best identifies the reason why producers try to minimize costs and maximizes revenue?

In simple terms... profit ! The bigger the difference in the cost of producing something - to the retail price... the higher the profit margin.


What happens to contribution margin per unit when unit selling prices increase. Illustrate your explanation with an example from fictitious company.?

If there is only increase in selling price per unit without the change in the cost of the product then contribution margin per unit will also increase but if cost per unit is more increase then increase in selling price per unit then contribution margin per unit will decrease.


What is the difference between buying on margin and margin call?

Buying on margin, taking a "margin" loan from the broker to help buy part of a stock purchaseMargin call, this happens when the broker demands full payment of your "margin" loan