There was a recent blog post by Seth Godin that describes value from a marketer's perspective. Similarly, high value cannot be extrapolated from low price when investing. The lower the price of a stock, the harder it is to find value. I define what is 'low price' by looking at the price of a stock with respect to say other stocks within the same sector in the same time period. There is often a reason for every low price - especially if the price stays persistently low for years. It could be due to no growth or slow growth of the business, it could be due to a lack in profitability, it could be due to high liabilities or simply a lack of business moat. Just like an item on sale, it is either that it is not durable, expiring or not in high demand. We all know that a gem ......