In fact, one potentially successful investment strategy is to
concentrate on value stocks.
Not exact matches
Well, according to van Biema, as well as other
concentrated value investors and surveys done
on the topic, the magic number is 20 to 30
stocks.
Turning the notion of diversification
on its head,
concentrated value investors pick a small group of undervalued
stocks and hold onto them through even the lean years.
Value investing
concentrates on unappreciated
stocks trading at attractive prices - bargain
stocks.
Profitability was recognized by the father of
value investing Benjamin Graham in 1928 as a predominant driver of
stock returns: It is undoubtedly better to
concentrate on one
stock that you know is going to prove highly profitable, rather than dilute your results to a mediocre figure, merely for diversifications sake.
Personally, I de-emphasize the price of the
stock and
concentrate on enterprise
value and enterprise
value ratios.
Well, according to van Biema, as well as other
concentrated value investors and surveys done
on the topic, the magic number is 20 to 30
stocks.
In addition,
Value Line has placed Altria in its model portfolio of «
Stocks With Long - Term Price Growth Potential,» which
concentrates on projections 3 - 5 years out.