Factor families

Value factor (Fama-French)

In plain English

Stocks that look cheap relative to their fundamentals (low P/E, low P/B, etc).

How it works

Fama-French 1992 famously documented that high book-to-market stocks ("value") outperform low book-to-market stocks ("growth") in long horizons. We blend P/E, P/B, EV/EBITDA, and forward-PE divergence into one z-scored value factor. 100 = cheapest in our universe by composite, 0 = most expensive.

Where you see this in Framler
Value card on /stocks/[ticker].
Primary citation
Fama-French 1992, Cross-section of expected returns

Related — Factor families

Quality factor (Novy-Marx)Momentum factorPEAD (Post-earnings drift)Accruals signal (Sloan)Short interest (Asquith)Insider flow (Seyhun)

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Value factor (Fama-French) — Framler glossary | Framler