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Pieter Stalenhoef is one of the most experienced equity analysts in Boston. He defines value stocks as stocks that trade below market value and often have strong fundamentals. The thing about these stocks is that these present an exciting opportunity for the investors to buy great stocks at low prices before a correction takes the price to their actual price.
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Pieter Stalenhoef Shares His Views About the Growth of Value Stocks Pieter Stalenhoef is one of the most experienced equity analysts in Boston. He defines value stocks as stocks that trade below market value and often have strong fundamentals. The thing about these stocks is that these present an exciting opportunity for the investors to buy great stocks at low prices before a correction takes the price to their actual price. While working for a long-standing financial investments firm, Pieter Stalenhoef used to spend a lot of his time analyzing global small and mid-cap equities and paying special attention on consumer and healthcare stocks. The job also required him to keep a track of the global stock trends and the performance of growth stocks over value stocks over the past decade. When asked about how growth stocks differ from value stocks, Pieter explains that growth stocks are stocks that investors believe are sure to outperform the market over time and these usually belong to companies that have a high potential for growth or expansion such as tech companies.
Pieter Stalenhoef has analyzed these stocks very carefully and has observed that value stocks have been underperforming in the United States for over and that has been brutal for most value investors. Even though the condition has not been so good for the past 13 years, saying that value investing is dead won’t be correct. Pieter has also observed the value stocks outperforming growth stocks over longer periods and in addition to that, there are various historical trends that tell the same story – value investing is here to stay. Pieter quotes a study published in the Financial Planning Magazine that states the returns on value stocks outperformed those on growth
stocks over a period of 25 years (1990-2014). Also, the value stocks have been seen paying good dividends typically evenduring the periods of stunted growth.