Margin of Safety is a term used to describe the difference between the current share price of a stock and its intrinsic value. In other words, it is the discount at which the stock is trading in comparison to its actual worth. The Margin of safety is not necessarily an equation but a guiding philosophy… Continue reading
Value investing is a philosophy that disregards the efficient market hypothesis and instead, seeks to identify undervalued buying opportunities. The central idea behind this approach is that every company has an inherent intrinsic value that is often mispriced by the market. A value investor has one primary objective, to identify stocks that are priced lower… Continue reading
The Compound Annual Growth Rate explained. The Compound Annual Growth Rate (CAGR) measures the average annual growth of an investment over a given period. CAGR is a helpful tool for investors because it measures investment growth (or decline) over time. This can be a useful way to measure against a benchmark if you have one…. Continue reading
