It was another tough year for value investors as growth stocks once again took the crown. It was the third consecutive year that growth stocks have out performed value.
Since Jan 3, 2017, the Vanguard Growth ETF (VUG) is up 59% versus just 27% for the Vanguard Value ETF (VTV). The S&P 500 is up 41% during that same period.
To make matters worse, the growth stock lead actually grew in 2019.
The Vanguard Growth ETF is up 14% on the Vanguard Value ETF for 2019, up 36% versus just 22% for value. The S&P 500 is up 28% during that same time.
But the growth stock rally is now getting long in the tooth. At some point, the equation will change and value will rise again.
With this lull, it’s a good time for value investors to hone their value investing strategy and accumulate their positions.
Where should investors be looking for value stocks?
The 3 Most Popular Value Investing Podcasts of 2019
1. The Most Popular: Buffett bought energy and retail in 2019. Should you be buying? Berkshire already has a stake in Occidental Petroleum OXY but it purchased shares in the third quarter, after they were at multi-year lows. His energy investments are looking smart heading into 2020.
2. Second Most Popular: Do you have to buy IPOs to accumulate a million-dollar portfolio? Not if you’re Anne Scheiber, one of the greatest amateur investors of all time. She turned $5,000 into $22 million in 51 years. She bought quality companies in entertainment, drugs and food and beverages. They are companies like Disney DIS and Merck MRK. Find out how she did it and the lessons you could learn for your own portfolio.
3. Third Most Popular: This episode reaches back to the genius of Benjamin Graham, whom many consider to be the “father” of value investing. Not only was he one of the greatest professional value investors ever, but he also mentored a young Warren Buffett. What advice would he have for the 2020 market? Two stocks discussed on that episode were Diamondback Energy FANG and Athene Holding ATH.
What else should you know about value investing heading into 2020?
Listen to these 3 great podcast episodes for all the value investing stocks, tips and secrets.
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The Walt Disney Company (DIS) : Free Stock Analysis Report
Merck & Co., Inc. (MRK) : Free Stock Analysis Report
Athene Holding Ltd. (ATH) : Free Stock Analysis Report
Diamondback Energy, Inc. (FANG) : Free Stock Analysis Report
Occidental Petroleum Corporation (OXY) : Free Stock Analysis Report
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