Tip & How-To about Finance

What is the difference between a growth investor and a value investor?

The difference between a growth and value investor is that growth investors look towards the future while value investors look to the past. A growth investor believes that companies growing quickly will have god returns. The investor will pay according to how high the anticipated growth is. On the other hand, a value investor looks at financial statements to figure out an intrinsic value of the stock and then compare this figure to the current price of the stock. If the current price is lower than the value then the investor will buy to raise the market place to equal the intrinsic value price.

Posted by on

Finance Logo

Related Topics:

Related Questions:

0helpful
2answers

Should I Raise Equity?

Raising cash with the purchase of equity is an extremely popular technique. The benefit is the fact that there's no requirement that equity be paid back. The disadvantage is you are quitting a share of the business, and therefore also, you might be quitting control. Oftentimes, it's simpler to boost equity than acquire debt.
Not finding what you are looking for?

902 views

Ask a Question

Usually answered in minutes!

Top Finance Experts

john h

Level 3 Expert

29494 Answers

Milorad Miladinovic
Milorad Miladinovic

Level 1 Expert

8 Answers

BANOTH PARVATHI
BANOTH PARVATHI

Level 1 Expert

12 Answers

Are you a Finance Expert? Answer questions, earn points and help others

Answer questions

Loading...