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  • The purchase of a bargain issue presupposes that the market's current appraisal is wrong, or at least that the buyer's idea of value is more likely to be right than the market's. In this process the investor sets his judgement against that of the market. To some this may seem arrogant or foolhardy.

    "The Intelligent Investor: The Classic Text on Value Investing". Book by Benjamin Graham. Chapter II, The Investor and Stock-Market Fluctuations, p. 38, 1949.