Glamour stock

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Related to Glamour Stocks: Growth stocks

Glamour stock

A popular stock characterized by high earnings growth rate and a price that rise is faster than the market average in a bull market.

Glamour Stock

A popular stock that is held by a large number of investors, especially institutional investors. A glamour stock usually has a high price and almost always has a high P/E ratio because of the larger than normal demand for it.
References in periodicals archive ?
Various hypotheses have been proposed to explain why the return differential between value stocks and glamour stocks persists so long.
Consequently, glamour stocks are overpriced while value stocks are under priced.
In sum, there is not a consensus or the best theory on explanations for the return differentials between value stocks and glamour stocks, yet.
It is hypothesized that prices of value stocks drop more than those of glamour stocks at the announcement of earnings restatements, if other things being equal.
They would also realize that downward price adjustments to glamour stocks at the initial actual earnings announcements was not enough and hence should make further downward price adjustments with earnings restatements.
Hypothesis: Ceteris Paribus, prices of value stocks drop more than those of glamour stocks at the announcement of earnings restatements.
First, negative earnings surprises of glamour stocks are more surprising to the market than those of value stocks are, while positive earnings surprises of value stocks are more surprising than those of glamour stocks are.
In the neurotic environment that exists, the crowd still can't decide whether to buy highly-valued glamour stocks with stupendous results and prospects, or undervalued, overlooked securities," said Kobrick.
How good have the returns been in these glamour stocks since March 9, 2009?
There are companies you may never even have heard of, some of which are much smaller or in industries that are considered less "glamorous" by investors, whose returns matched or, in some cases, surpassed this list of the glamour stocks during the same time period.
While there's nothing wrong with investing in the hot glamour stocks, if you widen your search beyond the well known names you might find a hidden gem that pays off just as big.
Perhaps investors are over paying for glamour stocks with high debt and small margins.