Is 'Value' a dirty word in today's market?
Been pondering a lot lately about how much the narrative around 'value investing' has shifted, or perhaps, been outright sidelined. It feels like we're in an era where growth at any cost, or simply story stocks, are what capture the imagination and the capital. You see some of these crypto plays, for instance, $AAVE up 1.31% today sitting around $90.51, and while it's a solid project, the valuation metrics often feel… abstract.
I remember a time when digging into balance sheets and income statements, looking for that undervalued gem with solid fundamentals, was the cornerstone of serious equity discussion. Now, it seems like if it's not disrupting something, or if it doesn't have an eye-watering TAM (Total Addressable Market) attached to it, it's almost ignored. Are we too quick to dismiss companies that are just good, steady earners? Is 'value' just a euphemism for 'slow and boring' now? Or am I just becoming an old man yelling at clouds, missing the forest for the trees?
It's interesting how much focus seems to be on those high-growth, high-narrative plays right now. I'm new to this, but it makes me wonder if there's still a place for traditional value investing principles, or if the market has fundamentally changed.