Margin Of Safety (financial)
Margin of safety (safety margin) is the difference between the intrinsic value of a stock and its market price.
Another definition: In Break even analysis (accounting), margin of safety is how much output or sales level can fall before a business reaches its breakeven point.
Read more about Margin Of Safety (financial): History, Application To Investing, Application To Accounting, Rare Book, Formula
Famous quotes containing the words margin and/or safety:
“I love a broad margin to my life.”
—Henry David Thoreau (1817–1862)
“The high sentiments always win in the end, the leaders who offer blood, toil, tears and sweat always get more out of their followers than those who offer safety and a good time. When it comes to the pinch, human beings are heroic.”
—George Orwell (1903–1950)