How does Warren Buffett determine what companies he should invest in? Why does he look for a margin of safety? One of Warren Buffett’s investing strategies is to buy stock in companies that are undervalued. In order to identify such companies, he calculates a company’s intrinsic value. Then, he translates that value into a margin of safety. Keep reading to learn Warren Buffett’s intrinsic value formula, as described in The Warren Buffett Way by investment professional Robert G. Hagstrom.
Warren Buffett’s Intrinsic Value Formula: How He Finds Good Deals
