Value investing is a timeless strategy. It focuses on buying undervalued stocks.
**Core principles of value investing**
– Compare stock price to fundamentals.
– Reduce downside risk.
– Ignore short-term noise.
**Examples of value opportunities**
– Classic value servicenow stock.
– Automotive industry recovery play.
– Long-term resilience.
**Risks of value investing**
– Value traps: stocks that stay cheap for a reason.
– Patience may test investors.
**Conclusion**
Value investing is about discipline and patience. By following fundamental analysis, intrinsic value, and margin of safety, investors find hidden gems.
