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Value Investing Strategy: In times of market volatility, investors often turn to value investing, seizing opportunities to buy undervalued stocks as others sell at lower prices. However, this strategy can lead to "value traps" if not understood properly.

Importance of PEG Ratio: The PEG ratio, which considers earnings growth potential, is a crucial metric for value investors to assess a stock's intrinsic value, complementing traditional measures like P/E and P/B ratios.

Screening Criteria for Stocks: Successful value investing involves specific criteria, including a PEG ratio below the industry median, a strong Zacks Rank, and significant market capitalization, which help identify promising stocks.

Highlighted Stocks: Four stocks that meet these criteria include Allstate Corporation, Telefonica S.A., Enersys, and Commercial Metals Co., each demonstrating strong growth potential and favorable value scores.

Market Performance: Major U.S. indices rose before Thanksgiving, with the Dow gaining 314.67 points, the S&P 500 up by 46.73 points, and the Nasdaq Composite increasing by 0.82%, driven by optimism over potential Federal Reserve interest rate cuts and easing concerns about the AI sector.

Value Stocks Appeal: The current market environment favors value stocks, particularly those with low Price to Cash Flow (P/CF) ratios, as lower borrowing costs benefit companies with stable earnings. Analysts recommend using multiple valuation metrics to avoid value traps.

Investment Criteria: To identify true-value stocks, investors should consider parameters such as P/CF, P/E, P/B, P/S ratios, and Zacks Rank, ensuring stocks are trading at a discount compared to their industry peers.

Quantum Computing Potential: Quantum computing is emerging rapidly, with major tech companies integrating it into their infrastructure. Analysts suggest investing in stocks poised to lead in this sector, highlighting the potential for significant returns similar to early investments in AI.

Market Rebound: On November 21, 2025, Wall Street saw a rebound with major stock indices rising nearly 1%, driven by investor optimism about a potential rate cut in December following dovish comments from Federal Reserve officials, despite ongoing concerns about overvalued AI stocks.

Investment Strategy: In light of market volatility, investors are advised to focus on dividend-growth stocks, which tend to offer better financial stability and downside protection compared to high-priced stocks, as they are associated with mature companies that have a history of increasing dividends.

Selected Dividend-Growth Stocks: Five recommended dividend-growth stocks include Cardinal Health, Barrick Mining, NetEase, Lam Research, and Enersys, all of which exhibit strong fundamentals and growth potential, making them suitable for long-term investment.

Criteria for Selection: The stocks were chosen based on criteria such as historical dividend growth, sales and earnings growth, expected future earnings growth, and favorable valuation metrics, narrowing down from over 7,700 stocks to just nine.