Quantify Graham’s safety cushion: how far market price sits below your estimate of intrinsic value. Pick a ticker to load our DCF intrinsic value and current price, or enter your own.
Inputs
Result
Margin of Safety iMargin of SafetyDiscount of market price to estimated intrinsic value. Graham suggested ≥30%.MoS = (Intrinsic Value − Market Price) / Intrinsic Value
20.0%
SlimEnter inputs to compute
What this means. Some cushion but less than Graham’s rule.
Reference
Every input and output on this page, explained in plain English. Hover the info icons in the calculator above to see the same content inline.
Discount of market price to estimated intrinsic value. Graham suggested ≥30%.
Formula
MoS = (Intrinsic Value − Market Price) / Intrinsic Value
How to read the result
Wide5/5
Meets Graham’s 30% safety cushion.
Slim3/5
Some cushion but less than Graham’s rule.
Thin / None1/5
No meaningful safety cushion.
Per-share fair value derived from a model (DCF, owner earnings, etc.).
Current quoted share price.
FAQ
Benjamin Graham coined the phrase in The Intelligent Investor — buy a security only when its price is meaningfully below your estimate of its intrinsic value, so that errors in your estimate are absorbed by the gap.
Educational tool only. The outputs above are produced by a deterministic formula from the values you enter. They are not a recommendation to buy, hold, or sell any security and are not investment advice. Always do your own research and consider consulting a licensed advisor before making investment decisions.
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