The market performance of value investment presents a steady trend: advocating value investment theory requires investors to behave relatively steadily but not radically, because the determination of future cash flow of enterprises has considerable uncertainty, which makes value investment the most important application field in traditional industries. In fact, Buffett, a famous investment master, mainly invests in stocks of traditional industries he is familiar with.

The main performance of value investment in the market is to choose stocks based on low P/E ratio and P/B ratio, which is different from the concept of growth investment. Morningstar and Lipper, the famous American fund appraisal companies, classify stock funds into growth type, balance type and value type according to their P/E ratio and P/B ratio. The main indicator to distinguish these three types of funds is the ratio of P/E ratio, P/B ratio and market average, that is, the P/E ratio and P/B ratio of stocks held by value funds are lower than the market average, while the stocks held by growth funds are higher than the market average.