Why Value Investors Might Be Better Off With Growth Stocks Right Now
Are you a growth investor or a value investor? Most stock buyers have strong opinions about which camp they fall into.
Value investing focuses on looking for stocks that are trading below what you think the underlying business is worth based on metrics like sales, earnings, and book value. In essence, it's looking for stocks the market is under-appreciating.
Growth investing is a strategy that looks for stocks early in their growth trajectory. While they might not be "cheap" by a value investor's standards, in theory the massive growth ahead will more than make up for the expensive price tag.
Source Fool.com
