VALUE STOCK Definition

Bookmark and Share

VALUE STOCK is a stock that trades at a lower price relative to its fundamentals (i.e. earnings, dividends, sales, etc.) thereby being considered undervalued by a value investor. Common characteristics of such stocks include a high dividend yield, low price-to-book ratio and/or low price-to-earnings ratio.

Learn new Accounting Terms

QUALITY OF EARNINGS is the increased earnings due to increased sales and cost controls, as compared to artificial profits created by inflation of inventory or other asset prices.

BLACK HOLE EXPENDITURE is a capital R&D expenditure that does not give rise to a depreciable asset and is not otherwise deductible.

Suggest a Term

Enter Search Term

Enter a term, then click the entry you would like to view.