--- title: "Meaning & Key Takeaway of: One of the big problems with growth…" description: "\"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 ..." image: "https://sms4smile.com/quotes/i/5ec/david-dreman-29428_big-problem_one-of-the-big-problems-with-growth-inve_2457433.jpg" --- # One of the big problems with growth investing is that we… ![“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.” quote by David Dreman](https://sms4smile.com/quotes/i/5ec/david-dreman-29428_big-problem_one-of-the-big-problems-with-growth-inve_2457433.jpg) [Download](https://sms4smile.com/quotes/i/5ec/david-dreman-29428_big-problem_one-of-the-big-problems-with-growth-inve_2457433.jpg) [Open image](https://sms4smile.com/quotes/i/5ec/david-dreman-29428_big-problem_one-of-the-big-problems-with-growth-inve_2457433.jpg) > “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.” [David Dreman](https://sms4smile.com/quotes/author/david-dreman/) ## About This Quote This interpretation was drafted with AI assistance. It is one reading of the quote, not the author's own explanation. 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. ★ ★ ★ ★ ★ No ratings yet [Customer](https://sms4smile.com/quotes/about/customer/) [Growth](https://sms4smile.com/quotes/about/growth/) [Investing](https://sms4smile.com/quotes/about/investing/) [Problem](https://sms4smile.com/quotes/about/problem/) [Values](https://sms4smile.com/quotes/about/values/) ## Related quotes > [Nerves are always a big problem for me, which is why I loved doing American sitcoms. Because you know when you do the take…](https://sms4smile.com/quotes/john-cleese/nerves-are-always-a-big-problem-for-me-which-is-why-i-loved-doing/) [John Cleese](https://sms4smile.com/quotes/author/john-cleese/) > [National security is a really big problem for journalists, because no journalist worth his salt wants to endanger the national security, but the law…](https://sms4smile.com/quotes/ben-bradlee/national-security-is-a-really-big-problem-for-journalists-because-no/) [Ben Bradlee](https://sms4smile.com/quotes/author/ben-bradlee/) > [ I think very highly of Expo and all is going well. We've seen big problems with \[corruption\] scandals \[at local government level\], but it… ](https://sms4smile.com/quotes/franca-sozzani/i-think-very-highly-of-expo-and-all-is-going-well-we-ve-seen-big/) [Franca Sozzani](https://sms4smile.com/quotes/author/franca-sozzani/) > [When the next big problem comes online, be it the Euro crisis, nuclear proliferation, an overstretched Internet, a killer flu, or any of the…](https://sms4smile.com/quotes/john-l-casti/when-the-next-big-problem-comes-online-be-it-the-euro-crisis-nuclear/) [John L. Casti](https://sms4smile.com/quotes/author/john-l-casti/) > [We have a presidential election coming up. And I think the big problem, of course, is that someone will win.](https://sms4smile.com/quotes/barry-crimmins/we-have-a-presidential-election-coming-up-and-i-think-the-big-problem/) [Barry Crimmins](https://sms4smile.com/quotes/author/barry-crimmins/) > [The key thing about all the world's big problems is that they have to be dealt with collectively. If we don't get collectively smarter,…](https://sms4smile.com/quotes/douglas-engelbart/the-key-thing-about-all-the-world-s-big-problems-is-that-they-have-to/) [Douglas Engelbart](https://sms4smile.com/quotes/author/douglas-engelbart/) > [I quit drinking. That was a big problem for a lot of years. Then after that, I just started feeling grateful again.](https://sms4smile.com/quotes/billy-crystal/i-quit-drinking-that-was-a-big-problem-for-a-lot-of-years-then-after/) [Billy Crystal](https://sms4smile.com/quotes/author/billy-crystal/) > [There is a big problem. The problem is the country borrowed too much. We went on a borrowing binge, there was a housing boom.…](https://sms4smile.com/quotes/george-osborne/there-is-a-big-problem-the-problem-is-the-country-borrowed-too-much/) [George Osborne](https://sms4smile.com/quotes/author/george-osborne/) > [When you have a big problem to solve, break it down to smaller ones first.](https://sms4smile.com/quotes/siddharth-katragadda/when-you-have-a-big-problem-to-solve-break-it-down-to-smaller-ones/) [Siddharth Katragadda](https://sms4smile.com/quotes/author/siddharth-katragadda/) > [I'm not anti-Muslim, I'm not anti-immigration; I'm saying we've got big problems in our cities. It's not very smart to make the problem bigger…](https://sms4smile.com/quotes/pim-fortuyn/i-m-not-anti-muslim-i-m-not-anti-immigration-i-m-saying-we-ve-got-big/) [Pim Fortuyn](https://sms4smile.com/quotes/author/pim-fortuyn/) > [We're facing growing climate change, more floods, more droughts, more crisis on a planetary level, and the systems we put in place in the…](https://sms4smile.com/quotes/margaret-atwood/we-re-facing-growing-climate-change-more-floods-more-droughts-more/) [Margaret Atwood](https://sms4smile.com/quotes/author/margaret-atwood/) > [I do have a very, very big problem with someone who saw me coming and exploited me as a mascot.](https://sms4smile.com/quotes/stella-vine/i-do-have-a-very-very-big-problem-with-someone-who-saw-me-coming-and/) [Stella Vine](https://sms4smile.com/quotes/author/stella-vine/) > [Its a big problem for American movies that all their movies are produced to be global.](https://sms4smile.com/quotes/anonymous/its-a-big-problem-for-american-movies-that-all-their-movies-are/) [Anonymous](https://sms4smile.com/quotes/author/anonymous/) > [Don't be pretentious is my first advice to young writers. This is the big problem - just because you're getting an MFA doesn't mean…](https://sms4smile.com/quotes/gary-shteyngart/don-t-be-pretentious-is-my-first-advice-to-young-writers-this-is-the/) [Gary Shteyngart](https://sms4smile.com/quotes/author/gary-shteyngart/) > [There are no big problems, there are just a lot of little problems.](https://sms4smile.com/quotes/henry-ford/there-are-no-big-problems-there-are-just-a-lot-of-little-problems/) [Henry Ford](https://sms4smile.com/quotes/author/henry-ford/) ## More by David Dreman > [A realistic definition of risk recognizes the potential loss of capital through inflation and taxes, and would include at least the following two factors:…](https://sms4smile.com/quotes/david-dreman/a-realistic-definition-of-risk-recognizes-the-potential-loss-of/) [David Dreman](https://sms4smile.com/quotes/author/david-dreman/) > [Investors repeatedly jump ship on a good strategy just because it hasn't worked so well lately, and, almost invariably, abandon it at precisely the…](https://sms4smile.com/quotes/david-dreman/investors-repeatedly-jump-ship-on-a-good-strategy-just-because-it/) [David Dreman](https://sms4smile.com/quotes/author/david-dreman/) > [History constantly reminds us that in an uncertain world there is no visibility of prospects. Future earnings cannot be predicted with accuracy.](https://sms4smile.com/quotes/david-dreman/history-constantly-reminds-us-that-in-an-uncertain-world-there-is-no/) [David Dreman](https://sms4smile.com/quotes/author/david-dreman/) > [Favored stocks underperform the market, while out-of-favor companies outperform the market, but the reappraisal often happens slowly, even glacially.](https://sms4smile.com/quotes/david-dreman/favored-stocks-underperform-the-market-while-out-of-favor-companies/) [David Dreman](https://sms4smile.com/quotes/author/david-dreman/) > [Bank One has got one of the best credit card divisions, ... The perception of investors is that financial services stocks are affected by…](https://sms4smile.com/quotes/david-dreman/bank-one-has-got-one-of-the-best-credit-card-divisions-the-perception/) [David Dreman](https://sms4smile.com/quotes/author/david-dreman/) > [Analysts have always been overly optimistic.](https://sms4smile.com/quotes/david-dreman/analysts-have-always-been-overly-optimistic/) [David Dreman](https://sms4smile.com/quotes/author/david-dreman/) > [Psychology is probably the most important factor in the market - and one that is least understood.](https://sms4smile.com/quotes/david-dreman/psychology-is-probably-the-most-important-factor-in-the-market-and/) [David Dreman](https://sms4smile.com/quotes/author/david-dreman/) > [Experience teaches us that when "everyone" comes to the same conclusion, that conclusion is just about always wrong.](https://sms4smile.com/quotes/david-dreman/experience-teaches-us-that-when-everyone-comes-to-the-same-conclusion/) [David Dreman](https://sms4smile.com/quotes/author/david-dreman/) > [Nobody beats the market, they say. Except for those of those of us who do.](https://sms4smile.com/quotes/david-dreman/nobody-beats-the-market-they-say-except-for-those-of-those-of-us-who/) [David Dreman](https://sms4smile.com/quotes/author/david-dreman/) > [I paraphrase Lord Rothschild: ‘The time to buy is when there's blood on the streets.'](https://sms4smile.com/quotes/david-dreman/i-paraphrase-lord-rothschild-the-time-to-buy-is-when-there-s-blood-on/) [David Dreman](https://sms4smile.com/quotes/author/david-dreman/) > [“The rational man - like the Loch Ness monster - is sighted often, but photographed rarely.”](https://sms4smile.com/quotes/david-dreman/the-rational-man-like-the-loch-ness-monster-is-sighted-often-but/) [David Dreman](https://sms4smile.com/quotes/author/david-dreman/) > [Patience is a crucial but rare investment commodity.](https://sms4smile.com/quotes/david-dreman/patience-is-a-crucial-but-rare-investment-commodity/) [David Dreman](https://sms4smile.com/quotes/author/david-dreman/) > [We invest in undervalued companies that exhibit strong fundamentals, above-market dividend yields and historic earnings growth, which our analysis indicates will persist. Our strategy…](https://sms4smile.com/quotes/david-dreman/we-invest-in-undervalued-companies-that-exhibit-strong-fundamentals/) [David Dreman](https://sms4smile.com/quotes/author/david-dreman/) > [ A good starting point \[in the measurement of investment risk\] is the preservation and enhancement of your purchasing power in real terms. ](https://sms4smile.com/quotes/david-dreman/a-good-starting-point-in-the-measurement-of-investment-risk-is-the/) [David Dreman](https://sms4smile.com/quotes/author/david-dreman/) > [I buy stocks when they are battered. I am strict with my discipline. I always buy stocks with low price-earnings ratios, low price-to-book value…](https://sms4smile.com/quotes/david-dreman/i-buy-stocks-when-they-are-battered-i-am-strict-with-my-discipline-i/) [David Dreman](https://sms4smile.com/quotes/author/david-dreman/) [Explore all 18 David Dreman quotes ](https://sms4smile.com/quotes/author/david-dreman/) ## More Big problem quotes > [My mom had very low expectations for me, and she really had a point. I was a big problem at seventeen. If I had…](https://sms4smile.com/quotes/alejandro-gonzalez-inarritu/my-mom-had-very-low-expectations-for-me-and-she-really-had-a-point-i/) [Alejandro Gonzalez Inarritu](https://sms4smile.com/quotes/author/alejandro-gonzalez-inarritu/) > [The big problem for comic art is you don't want to overwork it. If a drawing is overworked it isn't funny. It's the spontaneity…](https://sms4smile.com/quotes/edward-sorel/the-big-problem-for-comic-art-is-you-don-t-want-to-overwork-it-if-a/) [Edward Sorel](https://sms4smile.com/quotes/author/edward-sorel/) > [“For me -- for pretty much every writer -- the big problem isn't piracy, it's obscurity.”](https://sms4smile.com/quotes/cory-doctorow/for-me-for-pretty-much-every-writer-the-big-problem-isn-t-piracy-it-s/) [Cory Doctorow](https://sms4smile.com/quotes/author/cory-doctorow/) > [Nerves are always a big problem for me, which is why I loved doing American sitcoms. Because you know when you do the take…](https://sms4smile.com/quotes/john-cleese/nerves-are-always-a-big-problem-for-me-which-is-why-i-loved-doing/) [John Cleese](https://sms4smile.com/quotes/author/john-cleese/) > [Don't be pretentious is my first advice to young writers. This is the big problem - just because you're getting an MFA doesn't mean…](https://sms4smile.com/quotes/gary-shteyngart/don-t-be-pretentious-is-my-first-advice-to-young-writers-this-is-the/) [Gary Shteyngart](https://sms4smile.com/quotes/author/gary-shteyngart/) > [The big problem retailers are facing is the world is moving to mobile.](https://sms4smile.com/quotes/dan-schulman/the-big-problem-retailers-are-facing-is-the-world-is-moving-to-mobile/) [Dan Schulman](https://sms4smile.com/quotes/author/dan-schulman/) > [It was lonely on the hill, and cold. And all you could do was keep going. You could scream, cry, and stamp your feet,…](https://sms4smile.com/quotes/terry-pratchett/it-was-lonely-on-the-hill-and-cold-and-all-you-could-do-was-keep/) [Terry Pratchett](https://sms4smile.com/quotes/author/terry-pratchett/) > [Its a big problem for American movies that all their movies are produced to be global.](https://sms4smile.com/quotes/anonymous/its-a-big-problem-for-american-movies-that-all-their-movies-are/) [Anonymous](https://sms4smile.com/quotes/author/anonymous/) > [“answer. Donald’s dysfunctional belief was related to Janine’s, but he’d held on to it for much longer—a life of responsible and successful work should…](https://sms4smile.com/quotes/bill-burnett/answer-donald-s-dysfunctional-belief-was-related-to-janine-s-but-he-d/) [Bill Burnett](https://sms4smile.com/quotes/author/bill-burnett/) > [The big problem is just this kind of gigantic piece, of kids reading less and liking it less and so getting worse at it.…](https://sms4smile.com/quotes/jon-scieszka/the-big-problem-is-just-this-kind-of-gigantic-piece-of-kids-reading/) [Jon Scieszka](https://sms4smile.com/quotes/author/jon-scieszka/) > [I do have a very, very big problem with someone who saw me coming and exploited me as a mascot.](https://sms4smile.com/quotes/stella-vine/i-do-have-a-very-very-big-problem-with-someone-who-saw-me-coming-and/) [Stella Vine](https://sms4smile.com/quotes/author/stella-vine/) > [Don't tell GOD that u have a Big Problem,Tell your Problem that u have a Big GOD.](https://sms4smile.com/quotes/nishan-panwar/don-t-tell-god-that-u-have-a-big-problem-tell-your-problem-that-u/) [Nishan Panwar](https://sms4smile.com/quotes/author/nishan-panwar/) > [We're facing growing climate change, more floods, more droughts, more crisis on a planetary level, and the systems we put in place in the…](https://sms4smile.com/quotes/margaret-atwood/we-re-facing-growing-climate-change-more-floods-more-droughts-more/) [Margaret Atwood](https://sms4smile.com/quotes/author/margaret-atwood/) > [“That's my big problem. That's it! Before the Arrival,guys like Evan Walker never looked twice at me, much less shot wild game for me…](https://sms4smile.com/quotes/rick-yancey/that-s-my-big-problem-that-s-it-before-the-arrival-guys-like-evan/) [Rick Yancey](https://sms4smile.com/quotes/author/rick-yancey/) > [Well, capitalism is a big problem, because with capitalism you're just going to keep buying and selling things until there's nothing else to buy…](https://sms4smile.com/quotes/alice-walker/well-capitalism-is-a-big-problem-because-with-capitalism-you-re-just/) [Alice Walker](https://sms4smile.com/quotes/author/alice-walker/) Browse all 430 Big problem quotes ```json { "@context": "https://schema.org", "@graph": [ { "@type": "Quotation", "text": "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.", "creator": { "@type": "Person", "name": "David Dreman" }, "isPartOf": { "@id": "https://sms4smile.com/quotes/#website" }, "url": "https://sms4smile.com/quotes/david-dreman/one-of-the-big-problems-with-growth-investing-is-that-we-can-t/", "about": { "@type": "Thing", "name": "Big problem" }, "@id": "https://sms4smile.com/quotes/david-dreman/one-of-the-big-problems-with-growth-investing-is-that-we-can-t/#quotation", "image": { "@type": "ImageObject", "@id": "https://sms4smile.com/quotes/i/5ec/david-dreman-29428_big-problem_one-of-the-big-problems-with-growth-inve_2457433.jpg", "contentUrl": "https://sms4smile.com/quotes/i/5ec/david-dreman-29428_big-problem_one-of-the-big-problems-with-growth-inve_2457433.jpg", "url": "https://sms4smile.com/quotes/i/5ec/david-dreman-29428_big-problem_one-of-the-big-problems-with-growth-inve_2457433.jpg", "width": 1080, "height": 1080, "caption": "“One of the big problems with growth investing is that we can't estimate earnings very well. I really want to…” — David Dreman", "creditText": "SMS4Smile Quotes", "creator": { "@id": "https://sms4smile.com/quotes/#organization" } } }, { "@type": "BreadcrumbList", "itemListElement": [ { "@type": "ListItem", "position": 1, "name": "Home", "item": "https://sms4smile.com/" }, { "@type": "ListItem", "position": 2, "name": "Quotes", "item": "https://sms4smile.com/quotes/" }, { "@type": "ListItem", "position": 3, "name": "David Dreman", "item": "https://sms4smile.com/quotes/author/david-dreman/" }, { "@type": "ListItem", "position": 4, "name": "One of the big problems with...", "item": "https://sms4smile.com/quotes/david-dreman/one-of-the-big-problems-with-growth-investing-is-that-we-can-t/" } ], "@id": "https://sms4smile.com/quotes/david-dreman/one-of-the-big-problems-with-growth-investing-is-that-we-can-t/#breadcrumb" }, { "@type": "WebSite", "@id": "https://sms4smile.com/quotes/#website", "name": "SMS4Smile Quotes", "url": "https://sms4smile.com/quotes/", "publisher": { "@id": "https://sms4smile.com/quotes/#organization" } }, { "@type": "Organization", "@id": "https://sms4smile.com/quotes/#organization", "name": "SMS4Smile Quotes", "url": "https://sms4smile.com/quotes/", "logo": { "@type": "ImageObject", "url": "https://sms4smile.com/quotes/wp-content/themes/sq/assets/icons/icon-512.png", "width": 512, "height": 512 } } ] } ```