Good Companies, Poor Prices

A great company can be a bad buy too. Here is why.

- Hemkesh Khattar

Consistent financial performance is something that every company wants to achieve and every investor considers before making any investment decisions. However, financial performance does not always translate into market returns, especially when a company is overvalued.

A good quality company can earn below-average returns when bought at an exorbitant price, while an average or poor company can outperform the market if bought at the right price.