For low-intangible industries, fundamentals (ROE, book value, earnings) continue to explain price action quite well and have stable explanatory power, but for high-intangible industries, fundamentals have much lower explanatory power in predicting future price action.

factualpending

Speaker

Jacob Pizor

Evidence Quote

the explanatory power of fundamentals in terms of price action um hasn't really been affected for the low and tangible Industries so for the low and tangible Industries fundamentals continue to explain price action quite well but for the high and tangible Industries we find that fundamentals quality measurements valuation measurements are affected and they have a much lower explanatory power [13:04]

Source

Redefining Value Investing in a Magnificent Seven Dominated World | Jacob PozharnyExcess Returns
Created: 8/11/2026, 7:46:05 AM

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