释义 |
watered stock ThesaurusNoun | 1. | watered stock - stock representing ownership of overvalued assets; stock of a corporation whose total worth is less than its invested capitalstock - the capital raised by a corporation through the issue of shares entitling holders to an ownership interest (equity); "he owns a controlling share of the company's stock" |
watered stock Related to watered stock: treasury stockwatered stockn. shares of stock of a corporation which have been issued at a price far greater than true value. In this case, the actual value of all shares is less than the value carried on the books of the corporation. (See: corporation, stock) watered stock
Watered stockA stock representing ownership in a corporation that is worth less than the actual invested capital, resulting in problems of low liquidity, inadequate return on investment, and low market value.Watered StockAn overvalued stock. A stock may be overvalued for any number of reasons; speculation and over-issue are only two of the most common. Watered stocks are often subject to a price correction.watered stock Stock that is issued with a value considerably in excess of the value of the assets that support it. The term may be derived from the practice of feeding cattle salt to induce them to drink large amounts of water just before they are sold, thereby increasing their weight. Thus, the buyer—whether of stock or of livestock—pays for more than is actually received.watered stock Related to watered stock: treasury stockWords related to watered stocknoun stock representing ownership of overvalued assetsRelated Words |