Intrinsic Value of Business and How to Use That in the Market

(May 5, 1997) At the 1997 #Berkshire Hathaway Annual Meeting, Warren #Buffett defines the intrinsic value as the future cash inflows or outflows from the business to the owners and then discount that back at the appropriate interest rate. Warren Buffett and Charlie Munger also explained why it is important to understand the business and how to apply the concept of intrinsic value into the stock market.

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