What does 'Underperform' mean

Underperform is an analyst recommendation when a stock is expected to do slightly worse than the market return.

Also known as market underperform, moderate sell, or weak hold.

BREAKING DOWN 'Underperform'

Exact definitions vary between brokerages, but in general this rating is worse than neutral but better than sell or strong sell.

  1. Buy

    1. A recommendation to purchase a specific security. A buy rating ...
  2. Hold

    An analyst's recommendation to neither buy nor sell a security. ...
  3. Cash Neutral

    Cash neutral refers to the pairing of asset purchases and sales ...
  4. Market Neutral Fund

    A market neutral fund is a fund that seeks a profit in upward ...
  5. Brokerage Company

    A business whose main responsibility is to be an intermediary ...
  6. Hulbert Rating

    A ranking system that tracks the performance of investment newsletters ...
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