Small-cap investors love value stocks because the potential returns are great. Value investors typically follow the creed set down by legendary value investors such as Benjamin Graham. But value stocks come in all shapes and forms and can take significant research to unearth. Value stocks are typically companies whose inherent value has not yet been recognised by the stock market. That market inefficiency can offer investors the opportunity to get in while the shares are at a lowly valuation and enjoy the upside as others cotton on.
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