Like most value investors, I like buying my stocks cheap. But unlike most value investors, I skip deep-discount bargains for companies still in growth mode.
I’m talking about industry-leading companies with incredible growth prospects like Square and MercadoLibre. But these stocks rarely come cheap. After all, many investors willingly pay outlandish prices for YOLO stocks like GameStop and AMC — just imagine how much they’d shell out for the killer combination of quality and growth.
Still, every once in a while, the market can be generous as valuations go from sky-high to pricey, then from pricey to palatable. This typically occurs in a market crash like the one brought on by COVID-19 last March, marking the rare times I get to load up on my favorite stocks.