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Bottom Fishing

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Bottom Fishing
An investment strategy in which one buys high-risk stocks in companies that have recently dropped dramatically in price. The investor buys the stock in the belief that the drop is due to panic selling, rather than a serious fault in the company, and that the company will recover. The number of bottom fishers may increase in a prolonged bear market. See also: Distressed securities.

bottom fishing
Used to refer to the activity of investing in securities when it is believed the market has reached bottom following a major decline.

Bottom fishing. Investors using a bottom-fishing strategy look for stocks that they consider undervalued because the prices are low.

The logic of bottom fishing is that stock prices sometimes fall further than a company's actual financial situation warrants, especially in the aftermath of bad news. Bottom-fishing investors hope the stock will rebound dramatically and provide a healthy profit.



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My girlfriend Tracia is on the boat with me and we're bottom fishing for snapper by drifting over a wreck in about a hundred feet of water.
The company can arrange for an Exclusive Guided Fishing and Wilderness Dining package where local fishermen will teach you how to do saltwater bottom fishing and how to prepare your fish the traditional way.
No data are available yet on bottom fishing in the current market, only reports from brokers, because the deals haven't closed yet, Teplitzky said.
 
 
 
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