…on financial strength helps avoid “value traps” – stocks that are cheap for good reason. This distinguishes Dreman’s approach from simple deep value investing. Industry-Wide Application Dreman would often target…
Search Results for: value
Validea's Top Ten Warren Buffett Stocks - November 2024
…to emulate Buffett’s long-term, value-based approach to investing. The strategy looks for firms with consistent earnings over the past decade, consistently high return on equity and total capital, strong cash…
Five Fundamentally Sound Dividend Kings
…4th percentile for value metrics among all stocks Strong quality score in the 87th percentile Demonstrates excellent combination of value and quality metrics 2. W.W. Grainger (GWW) Grainger shines with:…
The Importance of Expectations in Investing
…different view from the market (the easy part) but being correct about that differing view (the challenging part). This dynamic explains why value investing has historically been effective. Value stocks…
Five Technology Stocks Peter Lynch Might Like
Peter Lynch’s legendary investment approach combined growth and value principles to identify companies trading at attractive prices relative to their growth rates. Validea’s interpretation of Lynch’s methodology focuses on his…
Practical Lessons from Rob Arnott
…perspectives on identifying market bubbles, the challenges facing value investors in today’s market, and how the rise of passive investing is reshaping market dynamics. We break down Rob’s thoughts on…
Five Stocks Both Warren Buffett and Peter Lynch Might Like
…balance sheets and the ability to use retained earnings effectively to generate shareholder value. The Lynch Strategy: Finding Growth at a Reasonable Price Peter Lynch popularized the PEG ratio (Price/Earnings…
The Challenges of Bubbles
…are more focused on price momentum than underlying value. However, it’s important to note that not all cryptocurrencies are equal. Some may have genuine utility and long-term value, while others…
An Evidence-Based Look at the Struggles of Value Investing | Larry Swedroe
…on many investors’ minds, including: Is value investing still effective in today’s market? How is the rise of passive investing impacting market efficiency? Should we be concerned about market concentration?…
Building a Quantitative Strategy Based on Warren Buffett's Approach
…to determine if they’re attractively priced. Buffett uses several methods to value companies: 1. Initial Rate of Return Calculate the earnings yield (EPS / Share Price) and compare it to…