How I’d find undervalued stocks to buy now and hold forever

A strategy of buying and holding undervalued stocks has generally been successful in obtaining high returns.

It means purchasing high-quality companies when they trade at prices that do not take into account their long-term growth potential. They may offer scope for capital growth, as well as lower risks than lower-quality businesses.

With many companies trading at low prices, there may be opportunities to buy undervalued shares today. Here’s how I’d seek to find them.

Finding undervalued stocks in unloved industries

At any given time, there are always some industries that are favoured by investors, and others that are unloved. Undervalued shares may be more likely to be found in the latter, since valuations may be lower. This…