Intrinsic Value Calculator Valuesnip

Valuesnip automatically collects all the inputs you need to find the intrinsic value of stocks trading on the U.S market exchange. We extract these data from our API’s provider so you don’t have to scout the internet for the inputs.

We have also provided you the result of the Margin of Safety and average out the results from different calculators. We also provide our users with the book value and the book value changes over the selected years.

Please note as value investors, intrinsic value is the final step to any investment and should not be solely relied upon as our main investment threshold.

1) What is the likelihood that the company is in business for the next ten years and so on? This is why Warren Buffett tries to avoid technology companies in many years of his investing because technology companies are very unpredictable. Many technologies vanished, especially after the DOTCOM crash.

2) Does the particular company of interest has a vigilant leader or as Warren Buffett sometimes refers to the knight of the castle.

 Does the castle have any moat around it? A moat is like a competitive advantage that allows the company to operate easily within the competitive nature of that industry. Such a competitive advantage can be in different forms such as a strong brand name, strong logo or a strong patent.

A good management team is also required to be in that castle with the brilliant shiny armor knight. No knight can win any army alone, therefore, a good team has to be in place. Please keep in mind a bad business or a rundown castle even with the best team and a brilliant knight the castle will collapse on its own or that business is doomed to fail.  

3) Is the business or the company that you are interested fall within your scope of competence?

In other word do you understand the business? It’s much better to invest in a business that we understand than tossing spaghetti at the wall and hope one to stick.

4) Finally, this is when “INTRINSIC VALUE” plays a big part in our investment decision, is the stock undervalue or overvalue. We would also like a safety margin of at least 25-30 percent just in case if we have done our homework wrong or we might have missed something during our research.

If anyone would like to see more information on intrinsic value please feel free to watch this video attached:

https://www.youtube.com/watch?v=jmUcbkQQ2hI&t=49s

Thank you so much for your time and interest.

If you have further queries contact us through this email support@valuesnip.com.