Value vs. Growth

Valuation spreads between value and growth stocks have widened. The gap is even higher now as growth stocks have greatly outperformed value post March 2020. We are seeing something very similar to what happened in 1999-2000 during the tech bubble. Apple is currently trading north of $2 trillion dollars. That eclipses entire countries such as Canada and Germany currently valued at $1.8 trillion and $1.5 trillion respectively. Trees do not grow to the sky. Value over the long term has outperformed growth and now is an excellent opportunity to buy value at even lower prices.

Value vs. Growth 1926 to March 2020.png
Mike Sander