DEFINITION of Bagel Land
Bagel land is a slang term that represents a stock or other security that is approaching $0 in price. The $0 price tag represents the rough shape of a bagel. Arriving in bagel land is usually the result of one or more major business problems that may not be resolvable. This term is typically used to describe an asset that has fallen from grace as opposed to a penny stock or other historically cheap security.
BREAKING DOWN Bagel Land
Bagel land is a colloquial term for a historically valuable stock that is approaching a $0 price tag due to unresolvable business issues. If a stock or other asset is headed toward bagel land or is approaching $0 (resembling the hole in the middle of a bagel), investors generally feel that the security is nearly worthless. In such cases, a company may be nearing bankruptcy or facing major solvency issues. While returning from bagel land is possible, the likelihood that equity investors will lose their entire stakes in the company becomes very high.