Intrinsic value
ValuationDefinition
What a stock is actually worth based on fundamentals (cash flows, earnings, assets) - independent of what the market currently prices it at. If price < intrinsic value, it's undervalued.
Example
DCF says Apple is worth $160/share but it trades at $250 = overvalued by the DCF model.
Related tool
Open the stockpitch tool on Arsenal.finance →