Specialty chemicals companies show discounted cash flow valuations 25% below market consensus. Value investing sentiment improves with forecast EPS growth of 8% annually, fueled by industrial demand in Asia. Value funds act as a cushion against market volatility. Additionally, Value ETFs can serve as a source of income through dividends. Investors with a medium to long-term investment horizon are better positioned to benefit from this strategy, making it particularly suited for those focused on long-term investing. This means the types of stocks investors can access for a value portfolio have changed too. In the past, value stocks were usually more cyclically sensitive. Today, many high-quality companies meet value criteria, with higher profitability, durable growth prospects and less sensitivity to GDP growth. Meanwhile, the US market has become less capital intensive. As a result, the traditional way of looking at value companies, through a price/book value lens, is inadequate. Instead, we think free cash flow (FCF) metrics are a better way to pinpoint value companies that can perform in different economic conditions. Over the last decade, value stocks with strong cash-flow yields have generally underperformed ( Display ). In our view, this trend will eventually revert to the mean, and attractively valued shares of companies with strong FCF will be rewarded. Media sector value investing plays are emerging as ad spend recovers post‑slump. Companies with debt/EBITDA under 2.0 and solid cash coverage ratios are positioned for valuation uplift over the coming earnings cycles.