A strategy focused on identifying undervalued stocks to achieve long-term growth.
Value investing is an investment strategy that involves selecting stocks that appear to be trading for less than their intrinsic or book value. Investors evaluate a company’s fundamentals, including earnings, dividends, and cash flow, to determine its real worth and seek to buy when the market undervalues it. This approach allows investors to minimize risk and maximize potential returns over the long run by avoiding the traps of market speculation and hype.
The stock market is a device for transferring money from the impatient to the patient. – Warren Buffett
