“I buy stocks when they are battered. I am strict with my discipline. I always buy stocks with low price-earnings ratios, low price-to-book value ratios and higher-than-average yield. Academic studies have shown that a strategy of buying out-of-favor stocks with low P/E, price-to-book and price-to-cash flow ratios outperforms the market pretty consistently over long periods of time.”
Quote by David Dreman
Author
David Dreman
David Dreman is a renowned investor, born in 1936. He has over 50 years of experience in the investment field and is known for his unique value investment philosophy. Dreman's investment philosophy emphasizes in-depth research of companies and long-term investment, advocating for the identification of undervalued stocks through fundamental analysis. more
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Source: Contrarian Investment Strategies in the Next Generation
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