As August draws to a close, the stock market is hovering near record levels, even as elevated Treasury yields, persistent inflation concerns and softer economic signals add to uncertainty. At the same time, recent gains have been heavily concentrated in technology and AI stocks, leaving many fundamentally sound companies outside the market’s strongest-performing areas. This divergence is creating an opportunity for investors to look beyond high-momentum names and seek quality businesses whose stocks are trading at more reasonable valuations.
Against this backdrop, value investing can offer an attractive approach. When market uncertainty prompts investors to sell fundamentally sound companies, their shares can become available at discounted valuations. Value investors seek to capitalize on such dislocations by identifying stocks whose market prices do not fully…
