TED-Ed: How do investors choose stocks? | Richard Coffin

The video explains stock trading, highlighting how stocks represent ownership in companies and how their prices are determined by market dynamics. It discusses investor goals, such as beating inflation or the market, and contrasts active and passive investing strategies. Active investors aim to exploit market inefficiencies, while passive investors focus on long-term growth through index funds. The video concludes by noting that many investment strategies combine elements of both approaches.

Explain the concept of 'beating the market' and the differing opinions on its feasibility.

What strategies do investors use to identify undervalued stocks?