Simply put, intrinsic value is the present value of a specific cash flow that a company could potentially generate into perpetuity. The intrinsic value calculation is nothing more than projecting forward in time a specific flow of cash and then determining what the present value of that cash flow is today. There are numerous Internet websites, such as ValuePro.net, where you enter a stock symbol and in turn receive an intrinsic value. A rule of thumb regarding what the intrinsic value should be is to start with an intrinsic value that is about 5% to 8% above a current share price. If the intrinsic value is less than the current share price, you might want to consider looking elsewhere.

Source: The Herald November 29, 2020 11:26 UTC