bid

Bid

The price a potential buyer is willing to pay for a security. Sometimes also used in the context of takeovers where one corporation is bidding for (trying to buy) another corporation. In trading, we have the bid-ask spread which is the difference between what buyers are willing to pay and what sellers are asking for in terms of price.

Copyright © 2012, Campbell R. Harvey. All Rights Reserved.

Bid

1. An offer by an investor to buy a security.

2. The highest price a potential buyer is willing to pay for a security. See also: Ask, Bid-ask spread.

Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved

bid

1. The price that a potential buyer is willing to pay for a security. Compare ask. See also best bid.

2. An offer to purchase something.

Wall Street Words: An A to Z Guide to Investment Terms for Today's Investor by David L. Scott. Copyright © 2003 by Houghton Mifflin Company. Published by Houghton Mifflin Company. All rights reserved. All rights reserved.

Bid.

The bid is the price a market maker or broker is willing to pay for a security, such as a stock or bond, at a particular time. In the real estate market, a bid is the amount a buyer offers to pay for a property.

Dictionary of Financial Terms. Copyright © 2008 Lightbulb Press, Inc. All Rights Reserved.

bid

1. an offer by one company to purchase all or the majority of the SHARES of another company as a means of effecting a TAKEOVER. The bid price offered by the predator for the voting shares in the victim company must generally exceed the current market price of those shares, the difference being a premium which the predator must pay for control of the company. However, on occasions, the market price of the shares may subsequently rise to exceed the initial bid price where investors either feel that the bid price undervalues the company, or where investors anticipate, for example, the possibility of a second party making a higher bid. The offer price could be paid solely in cash, or in a mix of cash and shares in the acquirer's own company, or solely in terms of the acquirer's shares (called a paper bid). In order to finance a takeover bid, a predator company may raise loans. See TAKEOVER BID (leveraged bid).
2. an offer to purchase an item (for example, a house or antique vase) which has been put up for sale at a specified price or is to be sold subject to receipt of ‘other prices’. The latter may occur at an AUCTION where a number of would-be buyers each put in a bid for an item, the final sale going to the highest bidder unless a predetermined ‘reserve’ has been set but not reached.

Collins Dictionary of Business, 3rd ed. © 2002, 2005 C Pass, B Lowes, A Pendleton, L Chadwick, D O’Reilly and M Afferson

bid

1. 1an offer by one company to purchase all or the majority of the SHARES of another company as a means of effecting a TAKEOVER. The bid price offered by the predator for the voting shares in the victim company must generally exceed the current market price of those shares, the difference being a premium that the predator must pay for control of the company On occasions, however, the market price of the shares may subsequently rise to exceed the initial bid price where investors either feel that the bid price undervalues the company or where investors anticipate, for example, the possibility of a second party making a higher bid. The offer price could be paid solely in cash, or in a mix of cash and shares in the acquirer's own company, or solely in terms of the acquirer's shares (called a paper bid). In order to finance a takeover bid, a predator company may raise loans. See TAKEOVER BID (leveraged bid).
2. an indication of willingness to purchase an item that is for sale at the prevailing selling price. This may occur at auction when many purchasers bid for items on sale, the final sale going to the purchaser offering the highest price unless a predetermined reserve price has been set that was not reached. See AUCTION.

Collins Dictionary of Economics, 4th ed. © C. Pass, B. Lowes, L. Davies 2005

bid

(1) An offer to purchase at a specific price, usually at an auction or foreclosure.(2) An offer to complete specified work for a certain price,usually presented in the context of a request for sealed bids to complete government work.

The Complete Real Estate Encyclopedia by Denise L. Evans, JD & O. William Evans, JD. Copyright © 2007 by The McGraw-Hill Companies, Inc.