Key insights
- The author argues that traditional value investing is not dead but requires focusing on smaller, less-followed micro-cap stocks where institutional investors cannot easily participate. They highlight a successful investment in $tlys, which has quadrupled since February, as evidence that significant returns are achievable by identifying and investing in overlooked, deeply undervalued companies, emphasizing the need for diligent research and risk tolerance.
While everyone endlessly debates the same 5-10 US mega caps, well selected deep value micro caps are showing they can still make you gobs of money
$tlys is up over 4x since February(!) which is the time when this analysis was posted: https://www.reddit.com/r/ValueInvesting/s/dDDdsUDrxm
It got near 0 engagement at the time
For everyone asking: is traditional value investing dead? Nope, you just have to go smaller and deeper value where the hedge funds and institutions can’t play. You have to be willing to buy absolute dog crap and take the risk in order to win big. And you have to put in the work and be willing to buy stuff that no one cares about