The Present value, or value of a Financial security is the Present value of the expected Future flows discounted (see Discounting) at the Rate of return required by Investors. Value creation is the objective of any manager. This objective is reached when the investments of company Yield more than the Return required by providers of funds.

(See Chapter 16 The time value of money and net present value of the Vernimmen)

To know more about it, look at what we have already written on this subject