--- title: "Meaning & Key Takeaway of: The purchase of a bargain issue…" description: "\"The purchase of a bargain issue presupposes that the market's current appraisal is wrong, or at least that the buyer's idea of value is more likely to ..." image: "https://sms4smile.com/quotes/i/231/benjamin-graham-1531_appraisal_the-purchase-of-a-bargain-issue-presuppo_2316919.jpg" --- # The purchase of a bargain issue presupposes that the… ![“The purchase of a bargain issue presupposes that the market's current appraisal is wrong, or at least that the buyer's idea of value is more likely to be right than the market's. In this process the investor sets his judgement against that of the market. To some this may seem arrogant or foolhardy.” quote by Benjamin Graham](https://sms4smile.com/quotes/i/231/benjamin-graham-1531_appraisal_the-purchase-of-a-bargain-issue-presuppo_2316919.jpg) [Download](https://sms4smile.com/quotes/i/231/benjamin-graham-1531_appraisal_the-purchase-of-a-bargain-issue-presuppo_2316919.jpg) [Open image](https://sms4smile.com/quotes/i/231/benjamin-graham-1531_appraisal_the-purchase-of-a-bargain-issue-presuppo_2316919.jpg) > “The purchase of a bargain issue presupposes that the market's current appraisal is wrong, or at least that the buyer's idea of value is more likely to be right than the market's. In this process the investor sets his judgement against that of the market. To some this may seem arrogant or foolhardy.” [Benjamin Graham](https://sms4smile.com/quotes/author/benjamin-graham/) ## About This Quote This interpretation was drafted with AI assistance. It is one reading of the quote, not the author's own explanation. Buying undervalued assets assumes the market misprices them; the investor must trust personal judgment over consensus. **In simple terms:** Investors buy bargains believing they know better than the market. Key Takeaway Rely on informed analysis, not herd opinion. Themes investment valuation contrarianism Mood cautious analytical Type financial philosophical When to use this quote - stock picking - real estate - collectibles - venture capital Key Concepts market efficiency risk assessment Questions to Reflect On - What evidence supports your valuation? - How do you handle market pressure? A Different Perspective Misjudging value can cause losses. ★ ★ ★ ★ ★ No ratings yet [Appraisal](https://sms4smile.com/quotes/about/appraisal/) [Appraisal Wrong](https://sms4smile.com/quotes/about/appraisal-wrong-5524447/) [Arrogant](https://sms4smile.com/quotes/about/arrogant/) [Bargain Issue](https://sms4smile.com/quotes/about/bargain-issue-2053230/) [Bargains](https://sms4smile.com/quotes/about/bargains/) [Buyer Idea](https://sms4smile.com/quotes/about/buyer-idea-5524450/) [Buyers](https://sms4smile.com/quotes/about/buyers/) [Currents](https://sms4smile.com/quotes/about/currents/) [Customer](https://sms4smile.com/quotes/about/customer/) [Foolhardy](https://sms4smile.com/quotes/about/foolhardy/) [Ideas](https://sms4smile.com/quotes/about/ideas/) [Investing](https://sms4smile.com/quotes/about/investing/) [Investors](https://sms4smile.com/quotes/about/investors/) [Issues](https://sms4smile.com/quotes/about/issues/) [Judgement](https://sms4smile.com/quotes/about/judgement/) [Judgement Market](https://sms4smile.com/quotes/about/judgement-market-5524449/) [Market Arrogant](https://sms4smile.com/quotes/about/market-arrogant-5524448/) [May](https://sms4smile.com/quotes/about/may/) [Negotiation](https://sms4smile.com/quotes/about/negotiation/) [Process](https://sms4smile.com/quotes/about/process/) [Seems](https://sms4smile.com/quotes/about/seems/) [Values](https://sms4smile.com/quotes/about/values/) ## Related quotes > [We define a bargain issue as one which, on the basis of facts established by analysis, appears to be worth considerably more that it…](https://sms4smile.com/quotes/benjamin-graham/we-define-a-bargain-issue-as-one-which-on-the-basis-of-facts/) [Benjamin Graham](https://sms4smile.com/quotes/author/benjamin-graham/) > [Foolhardy to put your trust where it is easy to create falsehood.](https://sms4smile.com/quotes/anne-mallory/foolhardy-to-put-your-trust-where-it-is-easy-to-create-falsehood/) [Anne Mallory](https://sms4smile.com/quotes/author/anne-mallory/) > [There are as many foolhardy ways to grow as there are to downsize.](https://sms4smile.com/quotes/gary-hamel/there-are-as-many-foolhardy-ways-to-grow-as-there-are-to-downsize/) [Gary Hamel](https://sms4smile.com/quotes/author/gary-hamel/) > [Like childhood, old age is irresponsible, reckless, and foolhardy. 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Our answer, as…](https://sms4smile.com/quotes/seth-klarman/occasionally-we-are-asked-whether-it-would-make-sense-to-modify-our/) [Seth Klarman](https://sms4smile.com/quotes/author/seth-klarman/) > [Live comedy's a very reckless, foolhardy profession. You're only as good as your last gig so earnings fluctuate.](https://sms4smile.com/quotes/bill-bailey/live-comedy-s-a-very-reckless-foolhardy-profession-you-re-only-as/) [Bill Bailey](https://sms4smile.com/quotes/author/bill-bailey/) > [Tantra is the hot blood of spiritual practice. It smashes the taboo against unreasonable happiness; a thunderbolt path, swift, joyful, and fierce. There is…](https://sms4smile.com/quotes/chogyam-trungpa/tantra-is-the-hot-blood-of-spiritual-practice-it-smashes-the-taboo/) [Chogyam Trungpa](https://sms4smile.com/quotes/author/chogyam-trungpa/) > [The revolting details of childbirth had been hidden from me with such care that I was as surprised as I was horrified, and I…](https://sms4smile.com/quotes/suzanne-curchod/the-revolting-details-of-childbirth-had-been-hidden-from-me-with-such/) [Suzanne Curchod](https://sms4smile.com/quotes/author/suzanne-curchod/) ## More by Benjamin Graham > [The purpose of this book is to supply, in the form suitable for laymen, guidance in the adoption and execution of an investment policy.](https://sms4smile.com/quotes/benjamin-graham/the-purpose-of-this-book-is-to-supply-in-the-form-suitable-for-laymen/) [Benjamin Graham](https://sms4smile.com/quotes/author/benjamin-graham/) > [There is something paradoxical in the fact that by establishing an export market we subject our entire domestic production to the vagaries of that…](https://sms4smile.com/quotes/benjamin-graham/there-is-something-paradoxical-in-the-fact-that-by-establishing-an/) [Benjamin Graham](https://sms4smile.com/quotes/author/benjamin-graham/) > [Those with the enterprise lack the money and those with the money lack the enterprise to buy stocks when they are cheap.](https://sms4smile.com/quotes/benjamin-graham/those-with-the-enterprise-lack-the-money-and-those-with-the-money/) [Benjamin Graham](https://sms4smile.com/quotes/author/benjamin-graham/) > [It must be fundamentally wrong to reduce production of food and fiber while one-third of our population is still ill fed and ill clothed.](https://sms4smile.com/quotes/benjamin-graham/it-must-be-fundamentally-wrong-to-reduce-production-of-food-and-fiber/) [Benjamin Graham](https://sms4smile.com/quotes/author/benjamin-graham/) > [The intelligent investor is a realist who sells to optimists and buys from pessimists.](https://sms4smile.com/quotes/benjamin-graham/the-intelligent-investor-is-a-realist-who-sells-to-optimists-and-buys/) [Benjamin Graham](https://sms4smile.com/quotes/author/benjamin-graham/) > [Intelligent investment is more a matter of mental approach than it is of technique. A sound mental approach toward stock fluctuations is the touchstone…](https://sms4smile.com/quotes/benjamin-graham/intelligent-investment-is-more-a-matter-of-mental-approach-than-it-is/) [Benjamin Graham](https://sms4smile.com/quotes/author/benjamin-graham/) > [Many progressive economists insist that gold is now in essentially the same position as silver and that the arguments the simon-pure gold advocates use…](https://sms4smile.com/quotes/benjamin-graham/many-progressive-economists-insist-that-gold-is-now-in-essentially/) [Benjamin Graham](https://sms4smile.com/quotes/author/benjamin-graham/) > [The art of investment has one characteristic that is not generally appreciated. 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Only by insisting on…](https://sms4smile.com/quotes/benjamin-graham/no-matter-how-careful-you-are-the-one-risk-no-investor-can-ever/) [Benjamin Graham](https://sms4smile.com/quotes/author/benjamin-graham/) [Explore all 229 Benjamin Graham quotes ](https://sms4smile.com/quotes/author/benjamin-graham/) ## More Appraisal quotes > [Let your desire for truth transcend all minor considerations. Ignorance is invariably confident. The man of knowledge learns to realize his own needs. 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Children are, therefore, especially sensitive to their relative standing among…](https://sms4smile.com/quotes/albert-bandura/agemates-provide-the-most-informative-points-of-reference-for/) [Albert Bandura](https://sms4smile.com/quotes/author/albert-bandura/) > [Reasonably accurate appraisal of one's own capabilities is, therefore, of considerable value in successful functioning. Large misjudgments of personal efficacy in either direction have…](https://sms4smile.com/quotes/albert-bandura/reasonably-accurate-appraisal-of-one-s-own-capabilities-is-therefore/) [Albert Bandura](https://sms4smile.com/quotes/author/albert-bandura/) > [I don't want to give a cool appraisal of Jeremy Irons. I just want to boil him in oil.](https://sms4smile.com/quotes/lynn-barber/i-don-t-want-to-give-a-cool-appraisal-of-jeremy-irons-i-just-want-to/) [Lynn Barber](https://sms4smile.com/quotes/author/lynn-barber/) > [Managers don't like giving appraisals, and employees don't like getting them. 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