By Justin J. Carbonneau (@jjcarbonneau) — As investors, we are taught to try and think long term. The story goes something like this — invest in stocks, stay disciplined and…
Tag: Value Stocks
Are Value Stocks Poised for Growth?
Value investing has fallen on tough times, and is “getting tiresome even for those famous for their patience,” according to a recent Barron’s article. On the face of it, value…
Some Ideas for Investing in a Low Return Environment
There is a very strong likelihood that returns for investors over the next decade will be significantly lower than what we have seen in the past ten years. With the…
Aiming for Private Equity-Like Returns Using a Small Cap Value Quant Strategy
By Justin J. Carbonneau (@jjcarbonneau) — “I do not like debt and do not like to invest in companies that have too much debt, particularly long-term debt. With long-term debt,…
The Case for Value Stocks
By Jack Forehand, CFA (@practicalquant) — Value stocks have lost their mojo. After an extended period from 2000 to 2007 where they outperformed growth stocks by a wide margin, they…
The Realities of Mean Reversion
By Jack Forehand, CFA (@practicalquant) “Importantly, reversion to the mean in the investment business extends well beyond the results for mutual funds. It applies to classifications within the market (small…
Value Stock Outperformance Could be Temporary
The recent outperformance of value shares over growth, according to an article in The Wall Street Journal, will be a short-lived trend. The rise in bank stocks and dip in…
Validea Gets Under the Hood: P/E Ratios
By Justin J. Carbonneau (@jjcarbonneau) — In our book, “The Guru Investor: How to Beat the Market Using History’s Best Investment Strategies”, we called Benjamin Graham the “Granddaddy of the…
Value Investing Performance Varies Depending on Measure
If you gauge value investing by evaluating “a portfolio that buys cheap stocks based on price-to-book ratios,” it hasn’t done too well over the past decade, according to a recent…
Stocks that Could Appeal to the Value Investor
In a recent article for The Globe and Mail, Validea CEO John Reese discusses the hefty divergence between growth and value stock performance so far this year and offers insights…