Margin of Safety Calculator

This tool is used to calculate safety marign based on intrinsic value of a stock and current Price instantly.

  

Results

Margin of Safety = 1 - (Stock Current Price / Stock Intrinsic Value)

Margin of Safety = 1 - (13/20)

Margin of Safety = 0.35 = 35.00%

Formula To Calculate Margin of Safety :

Retention ratio is the difference between the intrinsic value of a stock and its market price.

To calculate the Margin of safety (financial), use the following formula

Margin of Safety = 1 - (Stock Current Price / Stock Intrinsic Value)

Example :

Company XYZ stock has a current price of $15 and intrinsic stock value of $20.

= 1 - (15/20) = 0.25 = 25%