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TermDefinition
Margin of safety

A concept strongly emphasized by Benjamin Graham, which suggests to only buy a stock when the market price is significantly below the company's intrinsic value. By applying a margin of safety, you reduce the downside risk of subpar future performance, while increasing surprises on the upside when the company performs better than expected.

Market cap

The current market value of all shares outstanding. So if the company has 1.000 shares outstanding, and the stock price is $35, the market cap is 1000 * $35 = $35.000.