Bottom Fisher

AAA

DEFINITION of 'Bottom Fisher'

An investor who looks for bargains among stocks whose prices have recently dropped dramatically. The investor believes that a price drop is temporary or is an overreaction to recent bad news and a recovery is soon to follow.

INVESTOPEDIA EXPLAINS 'Bottom Fisher'

A bottom fisher may attempt to find stocks that the market has undervalued through fundamental analysis. Bottom fishers may also be more active during prolonged bear markets where there may be stocks getting hammered through panic selling. Unfortunately, it's difficult to tell the difference between a bargain and a stock that has fallen for a fundamental reason.

RELATED TERMS
  1. Bottom Fishing

    Investing in stocks that are cheap because of a problem with ...
  2. Distressed Securities

    A financial instrument in a company that is near or is currently ...
  3. Capitulation

    When investors give up any previous gains in stock price by selling ...
  4. Falling Knife

    A slang phrase for a security or industry in which the current ...
  5. Value Stock

    A stock that tends to trade at a lower price relative to it's ...
  6. Undervalued

    A financial security or other type of investment that is selling ...
Related Articles
  1. Profiting From Panic Selling
    Active Trading

    Profiting From Panic Selling

  2. An Introduction To Behavioral Finance
    Active Trading Fundamentals

    An Introduction To Behavioral Finance

  3. An Option Strategy for Trading Market ...
    Options & Futures

    An Option Strategy for Trading Market ...

  4. How Low-Volatility ETFs Can Enhance ...
    Investing News

    How Low-Volatility ETFs Can Enhance ...

comments powered by Disqus
Hot Definitions
  1. Accounts Payable - AP

    An accounting entry that represents an entity's obligation to pay off a short-term debt to its creditors. The accounts payable ...
  2. Ratio Analysis

    Quantitative analysis of information contained in a company’s financial statements. Ratio analysis is based on line items ...
  3. Days Payable Outstanding - DPO

    A company's average payable period. Calculated as: ending accounts payable / (cost of sales/number of days).
  4. Net Sales

    The amount of sales generated by a company after the deduction of returns, allowances for damaged or missing goods and any ...
  5. Over The Counter

    A security traded in some context other than on a formal exchange such as the NYSE, TSX, AMEX, etc. The phrase "over-the-counter" ...
  6. Earnings Before Interest After Taxes - EBIAT

    A financial measure that is an indicator of a company's operating performance. EBIAT, which is equivalent to after-tax EBIT ...
Trading Center