---
title: "Meaning & Key Takeaway of: The cheaper the stock, the better the…"
description: "\"The cheaper the stock, the better the outlook for future returns.\" — Robert Haugen"
image: "https://sms4smile.com/quotes/i/9d4/robert-haugen-38255_cheaper_the-cheaper-the-stock-the-better-the-out_1376298.jpg"
---

#  The cheaper the stock, the better the outlook for future…

![“The cheaper the stock, the better the outlook for future returns.” quote by Robert Haugen](https://sms4smile.com/quotes/i/9d4/robert-haugen-38255_cheaper_the-cheaper-the-stock-the-better-the-out_1376298.jpg)   [Download](https://sms4smile.com/quotes/i/9d4/robert-haugen-38255_cheaper_the-cheaper-the-stock-the-better-the-out_1376298.jpg) [Open image](https://sms4smile.com/quotes/i/9d4/robert-haugen-38255_cheaper_the-cheaper-the-stock-the-better-the-out_1376298.jpg)

> “The cheaper the stock, the better the outlook for future returns.”

[Robert Haugen](https://sms4smile.com/quotes/author/robert-haugen/)

## About This Quote

This interpretation was drafted with AI assistance. It is one reading of the quote, not the author's own explanation.

Lower-priced stocks tend to offer higher potential returns, assuming market inefficiencies and growth opportunities.

**In simple terms:** Cheap stocks can yield better future profits.

Key Takeaway

Seek undervalued equities for growth.

Themes

investment value investing market analysis risk assessment

Mood

analytical cautious

Type

financial educational

When to use this quote

- portfolio building
- stock selection
- financial planning
- wealth management

Key Concepts

price-to-earnings growth potential market cycles

Questions to Reflect On

- What criteria differentiate cheap stocks from value traps?
- How do macroeconomic factors affect low‑price stock performance?

A Different Perspective

Cheap stocks may carry higher risk or poor fundamentals.

★ ★ ★ ★ ★   No ratings yet

[Better Outlook](https://sms4smile.com/quotes/about/better-outlook-4526569/) [Cheaper](https://sms4smile.com/quotes/about/cheaper/) [Cheaper Stock](https://sms4smile.com/quotes/about/cheaper-stock-4754553/) [Customer](https://sms4smile.com/quotes/about/customer/) [Future Returns](https://sms4smile.com/quotes/about/future-returns-858701/) [Investing](https://sms4smile.com/quotes/about/investing/) [Outlook](https://sms4smile.com/quotes/about/outlook/) [Return](https://sms4smile.com/quotes/about/return/) [Stock Better](https://sms4smile.com/quotes/about/stock-better-324676/)

## Related quotes

> [“It seems that the uglier the stock, the better the return, even when the valuations are comparable.”](https://sms4smile.com/quotes/tobias-e-carlisle/it-seems-that-the-uglier-the-stock-the-better-the-return-even-when/)

[Tobias E. Carlisle](https://sms4smile.com/quotes/author/tobias-e-carlisle/)

> [It may be hard for us to hear the truth but its the best way to get a better outlook on life.](https://sms4smile.com/quotes/shirley-ramos/it-may-be-hard-for-us-to-hear-the-truth-but-its-the-best-way-to-get-a/)

[Shirley Ramos](https://sms4smile.com/quotes/author/shirley-ramos/)

> [Have rational expectations for future returns and avoid changing those expectations in response to the ephemeral noise coming from Wall Street.](https://sms4smile.com/quotes/john-c-bogle/have-rational-expectations-for-future-returns-and-avoid-changing/)

[John C. Bogle](https://sms4smile.com/quotes/author/john-c-bogle/)

> [“So please don't forget that considering the probabilities of future returns only begins the decision-making process. Decisions have consequences. If the consequences of being…](https://sms4smile.com/quotes/john-c-bogle/so-please-don-t-forget-that-considering-the-probabilities-of-future/)

[John C. Bogle](https://sms4smile.com/quotes/author/john-c-bogle/)

> [“The lights come on and my future returns in the glare.”](https://sms4smile.com/quotes/meredith-hall/the-lights-come-on-and-my-future-returns-in-the-glare/)

[Meredith Hall](https://sms4smile.com/quotes/author/meredith-hall/)

> [Whatever is newly expensive has two attributes: wonderful past returns and, in most cases, lousy future returns.](https://sms4smile.com/quotes/robert-d-arnott/whatever-is-newly-expensive-has-two-attributes-wonderful-past-returns/)

[Robert D. Arnott](https://sms4smile.com/quotes/author/robert-d-arnott/)

> [If you're angry, you don't have to write a poem dealing with the cause of your anger. But it needs to be an angry…](https://sms4smile.com/quotes/jay-asher/if-you-re-angry-you-don-t-have-to-write-a-poem-dealing-with-the-cause/)

[Jay Asher](https://sms4smile.com/quotes/author/jay-asher/)

> [ \[On President Bush's plan to get to Mars in 10 years\] Stupid. Robots would do a better job and be much cheaper because you… ](https://sms4smile.com/quotes/stephen-hawking/on-president-bush-s-plan-to-get-to-mars-in-10-years-stupid-robots/)

[Stephen Hawking](https://sms4smile.com/quotes/author/stephen-hawking/)

> [I have a constant kind of soundtrack going on at all times. I almost always have a song in my head. I'm very musically…](https://sms4smile.com/quotes/erin-davie/i-have-a-constant-kind-of-soundtrack-going-on-at-all-times-i-almost/)

[Erin Davie](https://sms4smile.com/quotes/author/erin-davie/)

> [The machines need to get faster. They need to get cheaper.](https://sms4smile.com/quotes/bill-gates/the-machines-need-to-get-faster-they-need-to-get-cheaper/)

[Bill Gates](https://sms4smile.com/quotes/author/bill-gates/)

> [I don't really pay too much attention to designers, I know what I like and I just try to find it, and I always…](https://sms4smile.com/quotes/bethany-cosentino/i-don-t-really-pay-too-much-attention-to-designers-i-know-what-i-like/)

[Bethany Cosentino](https://sms4smile.com/quotes/author/bethany-cosentino/)

> [The smaller &amp; cheaper the pleasure, ¦the more richer you are!](https://sms4smile.com/quotes/biman-gandhi/the-smaller-cheaper-the-pleasure-the-more-richer-you-are/)

[Biman Gandhi](https://sms4smile.com/quotes/author/biman-gandhi/)

> [ We have the ability to take him \[President of Venezuela, Hugo Chavez\] out, and I think the time has come that we exercise that… ](https://sms4smile.com/quotes/pat-robertson/we-have-the-ability-to-take-him-president-of-venezuela-hugo-chavez/)

[Pat Robertson](https://sms4smile.com/quotes/author/pat-robertson/)

> [For many oppositional movements, the Internet, while providing the opportunity to distribute information more quickly and cheaper, may have actually made their struggle more…](https://sms4smile.com/quotes/evgeny-morozov/for-many-oppositional-movements-the-internet-while-providing-the/)

[Evgeny Morozov](https://sms4smile.com/quotes/author/evgeny-morozov/)

> [There's a myth that free-to-play is cheaper than a $60 game. It's just elastic. For some users, it winds up being a lot more…](https://sms4smile.com/quotes/mitch-lasky/there-s-a-myth-that-free-to-play-is-cheaper-than-a-60-game-it-s-just/)

[Mitch Lasky](https://sms4smile.com/quotes/author/mitch-lasky/)

## More by Robert Haugen

> [Although efficient markets people still go around saying there is a "mountain" of evidence supporting their hypothesis, the truth of the matter is that…](https://sms4smile.com/quotes/robert-haugen/although-efficient-markets-people-still-go-around-saying-there-is-a/)

[Robert Haugen](https://sms4smile.com/quotes/author/robert-haugen/)

> [So you see, in the end, it is nearly certain that the power of prediction must triumph over the arrogance of elegance.](https://sms4smile.com/quotes/robert-haugen/so-you-see-in-the-end-it-is-nearly-certain-that-the-power-of/)

[Robert Haugen](https://sms4smile.com/quotes/author/robert-haugen/)

> [If we observe the performance of only those funds that remain active, we will tend to find that the average performance of the surviving…](https://sms4smile.com/quotes/robert-haugen/if-we-observe-the-performance-of-only-those-funds-that-remain-active/)

[Robert Haugen](https://sms4smile.com/quotes/author/robert-haugen/)

> [A comprehensive list of factors brings predictive stability and predictive stability and predictive power.](https://sms4smile.com/quotes/robert-haugen/a-comprehensive-list-of-factors-brings-predictive-stability-and/)

[Robert Haugen](https://sms4smile.com/quotes/author/robert-haugen/)

> [Less volatile stocks tend to have negative abnormal profits; more volatile stocks tend to have positive abnormal profits.](https://sms4smile.com/quotes/robert-haugen/less-volatile-stocks-tend-to-have-negative-abnormal-profits-more/)

[Robert Haugen](https://sms4smile.com/quotes/author/robert-haugen/)

> [CAPM also makes use of what is called a "definitional identity." This is something that is automatically true, simply because of the way things…](https://sms4smile.com/quotes/robert-haugen/capm-also-makes-use-of-what-is-called-a-definitional-identity-this-is/)

[Robert Haugen](https://sms4smile.com/quotes/author/robert-haugen/)

> [When you buy a lottery ticket, you don't know how tickets have been sold. But sold they have been. And there is an underlying…](https://sms4smile.com/quotes/robert-haugen/when-you-buy-a-lottery-ticket-you-don-t-know-how-tickets-have-been/)

[Robert Haugen](https://sms4smile.com/quotes/author/robert-haugen/)

> [In real-world Finance, they don't pay for elegance. They pay for power - predictive power.](https://sms4smile.com/quotes/robert-haugen/in-real-world-finance-they-don-t-pay-for-elegance-they-pay-for-power/)

[Robert Haugen](https://sms4smile.com/quotes/author/robert-haugen/)

> [In going directly to Investment Heaven, you build your portfolio as you would build a wonderful company through a merger and acquisition program. You…](https://sms4smile.com/quotes/robert-haugen/in-going-directly-to-investment-heaven-you-build-your-portfolio-as/)

[Robert Haugen](https://sms4smile.com/quotes/author/robert-haugen/)

> [The New Finance focused on the market's major systematic mistake. In failing to appreciate the strength of competitive forces in a market economy, it…](https://sms4smile.com/quotes/robert-haugen/the-new-finance-focused-on-the-market-s-major-systematic-mistake-in/)

[Robert Haugen](https://sms4smile.com/quotes/author/robert-haugen/)

> [Behaviorists tell us that we tend to overweight and overreact to the most recently received information. If we do, we will find that the…](https://sms4smile.com/quotes/robert-haugen/behaviorists-tell-us-that-we-tend-to-overweight-and-overreact-to-the/)

[Robert Haugen](https://sms4smile.com/quotes/author/robert-haugen/)

[Explore all 12 Robert Haugen quotes ](https://sms4smile.com/quotes/author/robert-haugen/)

## More Cheaper quotes

> [The machines need to get faster. They need to get cheaper.](https://sms4smile.com/quotes/bill-gates/the-machines-need-to-get-faster-they-need-to-get-cheaper/)

[Bill Gates](https://sms4smile.com/quotes/author/bill-gates/)

> [If you're angry, you don't have to write a poem dealing with the cause of your anger. But it needs to be an angry…](https://sms4smile.com/quotes/jay-asher/if-you-re-angry-you-don-t-have-to-write-a-poem-dealing-with-the-cause/)

[Jay Asher](https://sms4smile.com/quotes/author/jay-asher/)

> [For many oppositional movements, the Internet, while providing the opportunity to distribute information more quickly and cheaper, may have actually made their struggle more…](https://sms4smile.com/quotes/evgeny-morozov/for-many-oppositional-movements-the-internet-while-providing-the/)

[Evgeny Morozov](https://sms4smile.com/quotes/author/evgeny-morozov/)

> [ We have the ability to take him \[President of Venezuela, Hugo Chavez\] out, and I think the time has come that we exercise that… ](https://sms4smile.com/quotes/pat-robertson/we-have-the-ability-to-take-him-president-of-venezuela-hugo-chavez/)

[Pat Robertson](https://sms4smile.com/quotes/author/pat-robertson/)

> [The smaller &amp; cheaper the pleasure, ¦the more richer you are!](https://sms4smile.com/quotes/biman-gandhi/the-smaller-cheaper-the-pleasure-the-more-richer-you-are/)

[Biman Gandhi](https://sms4smile.com/quotes/author/biman-gandhi/)

> [I don't really pay too much attention to designers, I know what I like and I just try to find it, and I always…](https://sms4smile.com/quotes/bethany-cosentino/i-don-t-really-pay-too-much-attention-to-designers-i-know-what-i-like/)

[Bethany Cosentino](https://sms4smile.com/quotes/author/bethany-cosentino/)

> [There's a myth that free-to-play is cheaper than a $60 game. It's just elastic. For some users, it winds up being a lot more…](https://sms4smile.com/quotes/mitch-lasky/there-s-a-myth-that-free-to-play-is-cheaper-than-a-60-game-it-s-just/)

[Mitch Lasky](https://sms4smile.com/quotes/author/mitch-lasky/)

> [I have a constant kind of soundtrack going on at all times. I almost always have a song in my head. I'm very musically…](https://sms4smile.com/quotes/erin-davie/i-have-a-constant-kind-of-soundtrack-going-on-at-all-times-i-almost/)

[Erin Davie](https://sms4smile.com/quotes/author/erin-davie/)

> [ \[On President Bush's plan to get to Mars in 10 years\] Stupid. Robots would do a better job and be much cheaper because you… ](https://sms4smile.com/quotes/stephen-hawking/on-president-bush-s-plan-to-get-to-mars-in-10-years-stupid-robots/)

[Stephen Hawking](https://sms4smile.com/quotes/author/stephen-hawking/)

> [I thought to spend my declining years writing poetry and teaching - but that won't pay the Bergdorf's bill. I think I'll move to…](https://sms4smile.com/quotes/erica-jong/i-thought-to-spend-my-declining-years-writing-poetry-and-teaching-but/)

[Erica Jong](https://sms4smile.com/quotes/author/erica-jong/)

> [You don't make houses cheaper by making them more expensive to build.](https://sms4smile.com/quotes/ted-baillieu/you-don-t-make-houses-cheaper-by-making-them-more-expensive-to-build/)

[Ted Baillieu](https://sms4smile.com/quotes/author/ted-baillieu/)

> [I buy my produce at the local farmer's market, which is actually cheaper than shopping at the grocery store.](https://sms4smile.com/quotes/anna-getty/i-buy-my-produce-at-the-local-farmer-s-market-which-is-actually/)

[Anna Getty](https://sms4smile.com/quotes/author/anna-getty/)

> [We've begun to long for the pitter-patter of little feet - so we bought a dog. Well, it's cheaper, and you get more feet.](https://sms4smile.com/quotes/rita-rudner/we-ve-begun-to-long-for-the-pitter-patter-of-little-feet-so-we-bought/)

[Rita Rudner](https://sms4smile.com/quotes/author/rita-rudner/)

> [Used books are the sluts of the literary world. Passed around from person to person, spreading their pages for anyone, getting cheaper and cheaper…](https://sms4smile.com/quotes/stephen-colbert/used-books-are-the-sluts-of-the-literary-world-passed-around-from/)

[Stephen Colbert](https://sms4smile.com/quotes/author/stephen-colbert/)

> [Try to find if something out there is similar. If it's already being done, now you need to find out if you can do…](https://sms4smile.com/quotes/cameron-johnson/try-to-find-if-something-out-there-is-similar-if-it-s-already-being/)

[Cameron Johnson](https://sms4smile.com/quotes/author/cameron-johnson/)

[Browse all 411 Cheaper quotes ](https://sms4smile.com/quotes/about/cheaper/)

```json
{
    "@context": "https://schema.org",
    "@graph": [
        {
            "@type": "Quotation",
            "text": "The cheaper the stock, the better the outlook for future returns.",
            "creator": {
                "@type": "Person",
                "name": "Robert Haugen"
            },
            "isPartOf": {
                "@id": "https://sms4smile.com/quotes/#website"
            },
            "url": "https://sms4smile.com/quotes/robert-haugen/the-cheaper-the-stock-the-better-the-outlook-for-future-returns/",
            "about": {
                "@type": "Thing",
                "name": "Cheaper"
            },
            "@id": "https://sms4smile.com/quotes/robert-haugen/the-cheaper-the-stock-the-better-the-outlook-for-future-returns/#quotation",
            "image": {
                "@type": "ImageObject",
                "@id": "https://sms4smile.com/quotes/i/9d4/robert-haugen-38255_cheaper_the-cheaper-the-stock-the-better-the-out_1376298.jpg",
                "contentUrl": "https://sms4smile.com/quotes/i/9d4/robert-haugen-38255_cheaper_the-cheaper-the-stock-the-better-the-out_1376298.jpg",
                "url": "https://sms4smile.com/quotes/i/9d4/robert-haugen-38255_cheaper_the-cheaper-the-stock-the-better-the-out_1376298.jpg",
                "width": 1080,
                "height": 1080,
                "caption": "“The cheaper the stock, the better the outlook for future returns.” — Robert Haugen",
                "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": "Robert Haugen",
                    "item": "https://sms4smile.com/quotes/author/robert-haugen/"
                },
                {
                    "@type": "ListItem",
                    "position": 4,
                    "name": "The cheaper the stock, the better...",
                    "item": "https://sms4smile.com/quotes/robert-haugen/the-cheaper-the-stock-the-better-the-outlook-for-future-returns/"
                }
            ],
            "@id": "https://sms4smile.com/quotes/robert-haugen/the-cheaper-the-stock-the-better-the-outlook-for-future-returns/#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
            }
        }
    ]
}
```
