Some of the best value investors were down 60 percent or more in the bear market that started in 2007. Their experience of buying and holding “solid” companies, which had worked so well for so long, led to complacent behavior that resulted in large losses. In 2008, the overall market suffered heavy losses, with the Value Line (Geometric) Index finishing the year down 48.7 percent. The Dow was down 34 percent for the year. However, the worst-performing Value Line categories were low price to sales, down 66.9 percent; low price to book value, down 68.8 percent; and low P/E ratio, down 70.9
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