Here is the latest value spread update for October 2024 from Validea’s market valuation tool. Rather than focusing on market-cap weighted indexes like the S&P 500, our tool focuses on…
Tag: Value vs. Growth Spread
August 2024 Value Spread Update - Value Stocks Remain Cheap Relative to Growth
Here is the latest value spread update for July from Validea’s market valuation tool. Rather than focusing on market-cap weighted indexes like the S&P 500, our tool focuses on the…
The Valuation Gap Between Growth and Value, and How to Play It
A recent article in Barron’s reports that downtrodden value stocks are “finally winning” and the “comeback seems for real.” The wide valuation spread between growth and value, along with the…
Small-Cap Value Gets an Apology
A recent article in Verdad Research defends small-cap value investing by arguing that “though the past few years have been painful for small-value investors, this is perhaps a once-in-a-century buying…
New GMO Research on Value's "Lost Decade"
A new study from the research firm Grantham Mayo Van Otterloo (GMO) shows that the erosion of the value premium over the last decade was due to “changes in relative…
Never Say Never
By Jack Forehand, CFA (@practicalquant) Never tends to be an overused word in investing. Don’t get me wrong, I am big believer that the past is often the best guide…
Value Stocks Have Never Been Cheaper
Value investing has been a losing strategy in recent years, and value stocks are currently trading at the steepest discount in history. This according to a recent article in MarketWatch.…
When Will Value Investing Outperform Growth?
The current market cycle is testing the patience of value investors, according to an article in Barron’s. “Although value managers haven’t lost money, they have watched growth managers steadily pedal…
Manager Says Stock Price Gap Signals Opportunity
The valuation dispersion occurring in the market is presenting the “opportunity of a decade,” according to a recent article in Bloomberg. The article reports that a portfolio manager at the…
Bernstein Sees Buy Signals for Value Stocks
For the “quantitative whizzes” at Sanford Bernstein, the chasm that exists between the valuations of the cheapest and most expensive stocks around the world—which has now reached levels “rarely seen…