Does Value Investing Work?

Numerous market and academic studies have tested Value Investing against the market and other trading methods. Value Investing consistently generates greater long-term returns than any other method – we just do not hear about it much because it is not considered a “glamorous” trading method (read: not a fad). Value Investing often means going against conventional wisdom and popular trading methods. Value Investors pay little attention to external matters, such as quarterly earnings projections, price momentum, market volatility or day-to-day prices.

Just like any other endeavor, an investor’s success depends on knowledge, patience and correct action. ValueMyStock helps investors gather the knowledge to decide on the correct action, but each investor’s success will depend on their patience. Believe in your valuation and continue to hold your undervalued stock until it reaches intrinsic value, ignoring the day-to-day fluctuations in price.