overvalued

listen to the pronunciation of overvalued
English - English
A stock price that is seen as too high according to the company's price-earnings ratio, expected earnings, or financial condition
Stock whose current price is higher than its actual value or price/earnings ratio
The description of a stock whose current price is not justified by the earnings outlook or the price/earnings ratio It is therefore expected the stock will drop in price
A *stock* price which is perceived to be "too high" as indicated by a particular valuation model For instance, some might consider a particular company's stock price too high if the company's price/earnings ratio is much higher than the industry average However, caution needs to be exercised Using the current P/E ratio is an imperfect way to value securities (we need to consider the expected future stream of earnings and discount by the appropriate risk adjusted rate) Hence, when one talks of overvaluation or undervaluation you are implicitly assuming some model of valuation It is always possible that the security is valued correctly and the model is wrong
Description of a stock whose current price is not justified by the earnings outlook or the price/earnings ratio; therefore, the stock is expected to drop in price Overvaluation may result from an emotional buying spurt, which inflates the market price of the stock, or from a deterioration of the company's financial strength or outlook
past of overvalue
Said of a security whose price is not justified by its price/earnings ratio and thus, should eventually decline
{s} excessively valued; overpriced
Describing a security trading at a higher price than it logically should Normally associated with the results of option price predictions by mathematical models If an option is trading in the market for a higher price than the model indicates, the option is said to be overvalued See also Fair Value and Undervalued
overvalued currency
(Ekonomi) A currency whose quoted or traded rate is above what the market believes to be its correct level, given its country's balance of payments position and other relevant factors. Traders and speculators would be reluctant to buy a currency they believed to be overvalued as that suggests it should fall. If the domestic currency is considered overvalued, exporters would delay bringing in foreign-currency payments, while importers would benefit from advancing payments
overvalue
{v} to value rate or esteem too high
overvalue
To exceed in value
overvalue
To assign an excessive value to something
overvalue
assign too high a value to; "You are overestimating the value of your old car"
overvalue
To overvalue something, often a cost or rate of exchange, means to fix its value at too high a level compared with other similar things. a rate which does not overvalue the pound Many, perhaps all, Internet stocks are hugely overvalued. undervalue + overvaluation over·valu·ation These problems were aggravated by the overvaluation of the pound. + overvalued over·valued It still can be argued that Japanese shares are overvalued in terms of the return they offer. undervalued. to believe or say that something is more valuable or more important than it really is
overvalue
assign too high a value to; "You are overestimating the value of your old car
overvalue
{f} overestimate value; fix a price that is not proportional to the value; value too much
overvalue
To value excessively; to rate at too high a price
overvalued

    Hyphenation

    o·ver·val·ued

    Turkish pronunciation

    ōvırvälyud

    Pronunciation

    /ˈōvərˌvalyo͞od/ /ˈoʊvɜrˌvæljuːd/
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