20+ Renowned Value Investors And Their Investing Strategies

20+ Renowned Value Investors

And Their Investing Strategies

A value investor buys an asset for less than it is worth.

A value investor’s two biggest mistakes are being too early or too late.

Value investors are found in all industries. They do not have to be limited to public stock companies.

A strong argument can be made that the best entrepreneurs (who start a good company and then buy up their closest competitors) are value investors. If this were not true, how could they buy up their competitors and continue to grow and be profitable?

Because they were better at understanding the industry’s future and the companies’ valuations than their competitors.

The challenge for a value investor is twofold:

To assess what the asset is worth now
And what it might be worth in the future

This comparison is often called “Value versus Growth”

The two do not have to oppose each other. But often they do.

Why is that?

Because there is a common tendency to overpay for a company that is growing, while people rarely look at a boring company that is going nowhere (but maybe can be bought for a low price).

Both options can be good investments.

However, in the first case, the company must continue to grow or/and increase its profit margin. In the latter case, the company does not need to do anything. It is already undervalued.

The price you pay is the basis for everything else.

That is the essence of value investing.

It can be interesting and instructive to read about some famous value investors. They all did well, got rich, and used similar methods, but in different areas.