Value investing is not a short-term strategy. At some point -- after the market correction -- you will be able to buy stocks cheaply. Then you will leave short-term investors in the dust.
Meanwhile, there are still pockets of opportunity in areas such as pharmaceutical stocks. In fact, this month I am recommending Gilead Sciences (GILD).
Gilead is well known for its breakthrough drugs for rapid and simplified treatment of hepatitis B and hepatitis C. Beyond that, Gilead continues to work on a portfolio of new drugs.
Former President and CEO, now Executive Chairman of the Board, John Martin owns 3.1 million shares of stock; current CEO John Milligan owns 1.1 million shares. Altogether, officers and directors own 1.4% of the company's stock, an indication of long-term commitment by leadership.
This is a financially solid company with a Value Line ranking of A. Gilead stock pays a slightly-above-average dividend of 2.7%.
