This overlooks the longterm impact of a new type of company that has been greatly enabled by technology: predatory revenue omnivores. These are companies that have figured out how to identify large revenue flows outside their current business or sector and systematically capture that revenue successfully, over and over (Amazon is a good example). In the past, revenue growth was not sector-agnostic in this way because sector expertise created insurmountable advantages for incumbents such that revenue growth was more a function of sector growth and competition came from within that sector. Attempts to materially expand outside a company's native sector almost always ended in failure. Now it looks like a repeatable business model that a minority of companies have figured out.

More and more, you see alien companies successfully colonizing established sectors and stripping them of their revenue. Few value companies are prepared to handle the scenario when these alien companies show up because historically it has never been a realistic threat. I've seen this play out across several industrial sectors over the last decade and almost without exception, companies retreat to niches that the predator hasn't turned its eyes to yet. That's a strategy for being eaten last. The threat is so far outside their experience that they struggle to see a path forward.

If I was going to invest in "value" these days, I'd invest in the revenue predators. They are going to capture much of the best value revenue eventually but this will give them the appearance of "growth" companies in the short term due to the scale of organic revenue growth this business model creates for them.