Bottom Fisher


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.

BREAKING DOWN '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.

  1. Bottom Fishing

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

    A financial security or other type of investment that is selling ...
  3. Value Stock

    A stock that tends to trade at a lower price relative to it's ...
  4. Panic Selling

    Wide-scale selling of an investment, causing a sharp decline ...
  5. Capitulation

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

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