10/22/2026
Every stock has a price that matches the value of its future earnings. This is known as the intrinsic value.
The market price moves around that value every day. The margin of safety is the distance between the two.
Pay sixty-five for a stock worth one hundred and the thirty-five in between is your buffer. When the value falls to eighty, the drop lands in the buffer, not in your pocket.
Micro learning sketch ✍🏽 — Margin of Safety, from The Playbook for Stock Investing. Link in bio.