Key Takeaways. An asset is said to have reached full value when its intrinsic value is equal to its market price. When an asset has reached full valuation, it is said to be neither over- or undervalued.

What do we mean by value?

Value is the monetary, material, or assessed worth of an asset, good, or service. "Value" is attached to a myriad of concepts including shareholder value, the value of a firm, fair value, and market value.

What is an intrinsic value?

Intrinsic value is a measure of what an asset is worth. ... In financial analysis this term is used in conjunction with the work of identifying, as nearly as possible, the underlying value of a company and its cash flow.