so it says value stocks have higher earnings volatility than growth stocks
i’ve read some other places on the net saying this is so because value investors are banking on the stocks to recover (i.e. mean revert) to their historical levels…but if they don’t recover the stock drops more …
but this doesn’t seem like the greatest response …i’ve also read about value stocks being more cyclical?
anyone want to explain this? i thought earnings volatility for growth stocks would be higher