“Cheap,” from Steve Leslie
"Cheap" is a word that I have yet to embrace after 29 years of investing.
I always hear fundamental analysts use this word to support their reasons for owning their stocks. Or strategists use the phrase, "At X earnings the market is cheap here, and "based on a dividend discount model, our work indicates the market is relatively cheap here, or "with the long bond at X we think the market is cheap here."
Is this something that is taught in Market Strategist School or CFA classes? Or can one purchase a book that contains such sayings?
I have seen securities that are "cheap" get a lot cheaper before they became valuable. And there is an entirely separate school that teaches, "good things aren't cheap and cheap things aren't good."