Investor Glossary-orphan stockInvestor Glossary-orphan stockInvestor Glossary-orphan stockInvestor Glossary-orphan stockInsightful 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

Orphan Stock

The HTML to link to this page
 

An orphan stock is a stock that is not preferred by investors. It has essentially been abandoned or forgotten. If a stock is considered small or in an out-of-favor sector, it may be ignored in this way. An orphan stock is also called a wallflower stock because it is so easily overlooked. As a result of being ignored, an orphan stock may trade at a low price-to-earnings ratio, which illustrates what investors are willing to pay per dollar of earnings. The low P/E of an orphan stock usually indicates the earnings aren't worth much. Still, some investors view an orphan stock as an undiscovered bargain rather than an unfavorable investment. Should an investor take a risk and purchase an orphan stock, he may enjoy a high return on the investment - if the orphan stock is rediscovered.



Rate this orphan stock 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