How to Use This Calculator: The Rule One Margin of Safety Calculator helps you use Future Growth Rate (FGR) and Earnings Per Share (EPS) to determine the Sticker Price (or fair value) of a company. It then calculates the Margin of Safety (MOS) price - the price at which a Rule #1 ...
Margin of Safety Calculator This calculator will compute the margin of safety for a company in terms of both a percentage and amount of sales, given the company's break-even point and its expected sales. The margin of safety is the extent to which a company's sales can drop before the ...
To work out the production level you need to make a profit, you can also work out the margin of safety in units. You still take the break-even point from the current sales figure, but then divide the sum of that by the selling price per unit. This formula is: Margin of safety = (...
Note that the denominator can also be swapped with theaverage selling priceper unit if the desired result is the margin of safety in terms of the number of units sold. Similar to the MOS in value investing, the larger the margin of safety here, the greater the “buffer” between thebreak...
Margin of Safety Calculator is an online tool that facilitates the calculation of margin of safety in a simple click of user.
There are different ways to express the margin of safety: as a ratio or percentage or as sales in monetary terms or units to still break even (you can read about it in the break even calculator). Now that you know what a margin of safety is, let's explore the margin of safety ...