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<p>[QUOTE=&quot;risk_reward, post: 1988765, member: 12702&quot;]I think you are misunderstanding the word perception here or the subjective value theory.&nbsp; While it&#039;s true that we may perceive things differently, getting us to arrive at different estimates to a supposed &quot;intrinsic value&quot;.&nbsp; It&#039;s only our estimates of value that are allowed to change in the intrinsic value model, the underlying real value is assumed fixed. </p><p>&nbsp;</p><p>Subjective value isn&#039;t about different perceptions, it&#039;s about different importance or value systems.&nbsp; You may think that Lockheed martin&#039;s value should be based on a measure of cash flows and risks and those things inform your decision to buy the stock.&nbsp; Someone else may object to their business model and the fact that they profit from war, to that person the value of Lockheed Martin is decidedly lower. </p><p>&nbsp;</p><p>Values are just opinions and observed market prices are just the clearing price at which the current supply is balanced with the current demand of the people who most desire something.[/QUOTE]</p><p><br /></p>

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