It's honestly got so many "common sense" approaches for the enterprising investor looking to outperform the market. One common sense thing is that if you buy an undervalued small cap company, there is an inherent risk that the value may never get realized. But if you buy an undervalued/out-of-favour underperforming mid/large cap that DOES have some level of analyst coverage, then the risk of the future value not being realized is small because the analyst coverage (if nothing else) will put the stock in the spotlight. As the stock gets upgraded, so will the stock price follow.
There are many more common sense gems in this topic that are as relevant today as they were 70 years ago.
Submitted July 08, 2017 at 11:43AM by learner1314 http://ift.tt/2tt7NMF
