Value investing generally involves buying securities that appear underpriced and selling securities that appear overpriced.
Questions tagged [value-investing]
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Why does Warren Buffett consider real estate as productive asset?
In the Berkshire Hathaway 2011 letter, Buffett said:
My own preference – and you knew this was coming – is our third category: investment in productive
assets, whether businesses, farms, or real estate.
I fail to see how real estate produce…
PatrixCR
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What does "gold reserves" on a gold mining company's balance sheet mean?
From a Reuters article:
On Wednesday, [Newmont Mining Corp] reported gold reserves of 68.5 million ounces for 2017, unchanged from 2016, as it replaced reserves through exploration, projects, revisions and acquisitions.
68,500,000 ounces divided…
Ms Jackson
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Which Benjamin Graham book should I read first: Security Analysis or Intelligent Investor?
I recently graduated from engineering and I want to know more about investing.
I'm particularly interested in Benjamin Graham's ideas. I want to read all of his books, but I couldn't decide which one should be first.
Which should I read first:…
user1955276
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Why does Warren Buffett say his fund performance, relatively, is likely to be better in a bear market than in a bull market?
Currently, I am reading his annual letter. In his letter, he always says that his fund performance is likely to be better in a bear market than in a bull market, but I don't know why. Could someone explain this to…
CSnerd
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How did Theranos have any value at all?
Theranos, an infamous case of a tech startup gone bad, was valued at over 9 billion dollars for audacious claims of revolutionizing the blood-testing industry. The trouble is, it had done so with absolutely no evidence that it could accomplish what…
WannabeCoder
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Why is there a distinction between growth and value investing, when growth is part of value?
I regularly come across articles about "growth vs value investing", "growth stocks beat value stocks", etc. Why is there a distinction between growth investing and value investing when growth is a component of value?
When using valuation models…
Flux
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Why do we ONLY care about the future of companies like Netflix? It was very profitable in the past
I understand in a startup that has not created revenue yet, if the “future” is predicted to be bad for the company, the value of the company only would drastically go down (for the only worth was on future hopes). However, in an established company…
Jack
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Assessing the value of an ETF
I recently read through Graham's The Intelligent Investor and am looking at what index ETFs or Index Mutual Funds it makes sense for me to invest in. As I was considering this I realized that, at least as I understand ETFs, some of the principles…
vossad01
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Explanation on Warren Buffett's famous quote
What does Warren Buffett says in this article here
"In the short term the market is a popularity contest; in the long term it is a weighing machine."
What is the analogy with popularity contest and weighing machine
Victor123
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If a company's assets are worth more than its market cap, can one say the shares must be undervalued?
Imagine a company sold a 10% stake in one of its assets to a 3rd party for $100 million. It would be fair to assume that the asset is worth $1 billion.
If that company had 200 million shares issued, and were trading at a price of $4/share, then its…
Nathan
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Any specific examples of company valuations according to Value Investing philosophy?
I would like to read a specific example of how the value of a company is determined according to the "value investing" philosophy. Warren Buffett can be seen on one of his YouTube videos, describing how he will first determine the value of a company…
David
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When and where did Warren Buffett say: “Rule No.1: Never lose money. Rule No.2: Never forget rule No.1”?
Every woo-woo financial guru claims that Warren Buffett lives by this and said this at some point in time.
When and where did this statement originally occur? What is the primary source?
Jacob Draught
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Analyze a security using Benjamin Graham's Defensive Investor Criteria
I would like some help evaluating a security using Graham's Defensive Investing Criteria (Chapter 14 of the Intelligent Investor).
As an example security, let's look at NYSE:MEI and each of the criteria:
1.) Adequate size of the Enterprise.
Not less…
Jeff
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As a young kid should I spend my time learning value investing or should I just chuck all my money into IVW/VOO
I have a genuine question, I am a noob at stocks. from what I have been reading value investors get higher returns than growth investors but then how come the growth etf IVW gets much higher returns than the value index fund VTV. I've looked at…
Linkin
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Learning investment--books to read? Fundamental/Value/Motley Fool
I am looking to learn how to invest better. Currently I follow the Motley Fool recommendations and have done quite well that way, but I'd like to educate myself better so that I can make better decisions.
I have picked up the following books:
The…
Steve
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