🔹 Intrinsic Value:
It’s the true or fair value of an asset based on its fundamentals — like earnings, cash flow, and growth potential — rather than the current market price.
👉 Think of it as what a stock should be worth.
🔹 Market Value:
It’s the current price of the asset in the market — the price investors are willing to pay or sell for right now.
👉 It reflects demand and supply, not necessarily the company’s real worth.
📊 Example:
If a company’s intrinsic value (based on analysis) is ₹500, but the stock is trading at ₹350, it’s considered undervalued — a potential buying opportunity.
🧠In short:
Intrinsic Value = What it’s really worth
Market Value = What people are paying for it
Regards
Shining Stars 🌟🌟🌟

Post a Comment