Growth at reasonable price (GARP)
InvestingDefinition
Hybrid strategy combining growth investing with valuation discipline. Coined by Peter Lynch. Targets companies with consistent earnings growth (15%+) trading at modest multiples (PEG < 1.2).
Less prone to valuation blowups than pure growth, less mediocre than deep value. Lynch's record at Magellan: 29% annualized 1977-1990 using GARP principles.
Less prone to valuation blowups than pure growth, less mediocre than deep value. Lynch's record at Magellan: 29% annualized 1977-1990 using GARP principles.