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. Capitulation

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

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

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

    A financial security or other type of investment that is selling ...
  6. Panic Selling

    Wide-scale selling of an investment, causing a sharp decline ...
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. Is It A Breakout? See The Point-And-Figure ...
    Chart Advisor

    Is It A Breakout? See The Point-And-Figure ...

Hot Definitions
  1. Hyperinflation

    Extremely rapid or out of control inflation. There is no precise numerical definition to hyperinflation. Hyperinflation is ...
  2. Gross Rate Of Return

    The total rate of return on an investment before the deduction of any fees or expenses. The gross rate of return is quoted ...
  3. Debit Spread

    Two options with different market prices that an investor trades on the same underlying security. The higher priced option ...
  4. Leading Indicator

    A measurable economic factor that changes before the economy starts to follow a particular pattern or trend. Leading indicators ...
  5. Wage-Price Spiral

    A macroeconomic theory to explain the cause-and-effect relationship between rising wages and rising prices, or inflation. ...
  6. Accelerated Depreciation

    Any method of depreciation used for accounting or income tax purposes that allows greater deductions in the earlier years ...
Trading Center