Big problem Quote by David Dreman
“One of the big problems with growth investing is that we can't estimate earnings very well. I really want to buy growth at value prices. I always look at trailing earnings when I judge stocks.”
About This Quote
Source Book: Contrarian Investing, 1998
Growth stocks are hard to value, so investors seek value-priced growth using earnings trends.
In simple terms: Growth valuation is tough.
Key Takeaway
Use earnings trends to find undervalued growth.
Themes
investing
valuation
growth
value
strategy
Mood
analytical
strategic
Type
financial
educational
When to use this quote
- stock selection
- portfolio construction
- financial advising
- educational courses
Key Concepts
earnings analysis
price-to-earnings
risk management
Questions to Reflect On
- What signals indicate earnings stability?
- How do you balance growth and value risks?
A Different Perspective
Growth may not sustain expected earnings.
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