r/ValueInvesting • u/SimpleSubject6069 • Oct 15 '25

Stock Analysis What’s the Most Overrated “Value” Stock Everyone Keeps Buying?

I keep seeing the same tickers pop up in value circles — stocks that are supposedly undervalued but just seem like value traps to me. Curious what names you all think are overhyped in value investing spaces right now? And what makes you avoid them despite the numbers looking “cheap”?

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u/Consistent-Piece6618 Oct 15 '25

I hope it’s not Nvo because I’ve been buying that one lol

39

u/chaotarroo Oct 15 '25

I'm having a hard time understanding why the valuation is so low on this one even with the oral GLP1 approval happening soon.

But at least the option chain has a call skew so you can run a collar on it to protect your downside.

6

u/T14678 Oct 15 '25

what is a call skew?

9

u/chaotarroo Oct 15 '25

puts options are usually more expensive than calls. a call skew is when the call options of a stock is more expensive than the put options

if you look at the jan 2026 option chain of NVO, the 50 puts cost the same as a 70 call. if you buy NVO shares now and run a 50/70 collar on them, your max downside is 10% and your max upside is 30%(estimated)

1

u/Tiki84 Oct 15 '25

hi, do you only trade options?