™At expiration a $50 strike put with the stock at $40 has $10 option intrinsic value per share; business intrinsic value uses a different estimation concept.
Options
Intrinsic value
The amount an option is in the money, excluding time value.
Plain-English context
Put the definition to work.
Option intrinsic value is a payoff calculation; a business's estimated intrinsic value is a different, assumption-dependent concept.
Further reading and verification. Examples are hypothetical, not current quotes or recommendations. Product terms, tax treatment and market rules can change. OIC — Options Pricing