Intrinsic value refers to a stock's value being:

Intrinsic value represents the perceived or calculated true value of a stock, based on fundamental analysis of its business operations, assets, earnings, and growth potential. When a stock's intrinsic value is perceived to be higher than its current market price, it suggests that the stock is undervalued and may present an opportunity for investment. Investors often seek out stocks whose intrinsic values exceed their market prices, believing that the market will eventually recognize the stock's true worth, leading to price appreciation over time.

This concept is fundamental in finance, as it encourages investors to look beyond market fluctuations and emotions, focusing instead on long-term value and growth potential. By assessing intrinsic value, investors can make more informed decisions about buying or holding stocks based on their analyses rather than solely on current market trends.

The other options do not accurately describe the concept of intrinsic value in the context of stock evaluation. For example, saying that intrinsic value is equal to market value would imply that there is no mispricing in the stock, which contradicts the purpose of determining intrinsic value in the first place. Similarly, referencing historical value doesn’t directly relate to the concept, nor does it account for current business fundamentals and future potential. Furthermore, while dividend payouts can influence intrinsic value in particular cases