Not Every Value Stock Is a Good One
When I fell in love with the stock market many years ago, it was value investing that lured me. I became enthralled by the great value books: Benjamin Graham’s The Intelligent Investor, John Train’s The Money Masters and David Dreman’s Contrarian Investment Strategy. The message was simple: Buy low, sell high (or, better yet, not at all). What excited me was the search for excellent companies shunned by other investors. To find an overlooked stock and keep it through adversity, then to have it recognized and its price soar—now that was a thrill.
Buying growth stocks is not nearly as challenging. Jumping on the Tesla express is not my idea of excitement, and what goes way up often comes way down (see, for example, Enron). Also, the data were on my side: Value stocks
