Investor Glossary-fairly valuedInvestor Glossary-fairly valuedInvestor Glossary-fairly valuedInvestor Glossary-fairly valuedInsightful stock market charts - Click here
investor
Categories    # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

Fairly Valued

The HTML to link to this page
 

A fairly valued stock is a stock whose perceived value is equal to its current market value. Not every investor uses the same criteria when deciding if a stock is fairly valued. Some investors use a multiple such as a stock's price to earnings ratio (PE Ratio) or price to sales ratio to determine if a stock is fairly valued . Other investors determine if a stock is fairly valued based upon projected future earnings of the underlying company. Still other investors accept the open market value of a stock when deciding what is fairly valued. All things being equal, a fairly valued stock has a better chance of appreciating than a stock that is overvalued at the time of purchase.



Rate this fairly valued definition...

Learn about investing with the Investor Glossary Term of the Day


Click here for insightful stock market charts. Where is the market headed? The answer may surprise you. Find out
with the exclusive & Barron's recommended charts of Chart of the Day.


Popular Terms: current ratio, quality assurance, labor relations, Key Rate Duration, 1031 exchange, APR, 1035 exchange, open position, LIBOR, phantom income, minority interest, retained earnings, option premium, deferred revenue, class C shares, balance sheet, stock market close, stock split, irrevocable trust, margin rate, average price per share, cancelled check, in escrow, risk management, inflation, FTSE, dividends payable, command economy, required rate of return, Zero Cost Collar, ex-dividend, implied volatility, limit order, 144a, debt service coverage, reverse mortgage, diluted share, wholly-owned subsidiary, per diem, real GDP, covered put, EBITDA, 401a, liquidity ratio, FICO score, ex-dividend date, annual return, VIX, deferred tax


Accounting | Banking | Bonds | Brokers | Economy | Futures | Mutual Funds | Options | Real Estate | Retirement | Stocks | Taxes | Technical Analysis
Home | Term of the Day | Suggest a Term | Chart of the Day | Dogs of the Dow
©2004-2016 Investor Glossary - All rights reserved - Terms of Use