Black Friday bargains or cheap for a reason?

Value in the UK

As we emerge from Black Friday and Cyber Monday, a weekend which sees millions of consumers around the world fight for a bargain, we can question where the best value opportunities are in the stockmarket.

Managers say value investing involves buying stocks trading at a significant discount to their intrinsic value, and there has been a lot of noise around whether or not this approach is making a comeback, particularly in the UK, which is home to an array of unloved stocks at the moment. But how do we know when cheap really means good value? James Budden, director of marketing and distribution at Baillie Gifford, which is widely-known for its die-hard growth style, questioned what value even is in this week's Big Interview. He claims value stocks are underpriced as they are "cheap for a re...