air pocket stock

Air pocket stock

A stock whose price drops precipitously, often on the unexpected news of poor results.

Air Pocket Stock

A stock that undergoes a sudden drop in price, normally as the result of bad news. For example, if a publicly-traded company announces that its earnings will be slightly less than expected, its stock price's drop may be described as an air pocket. Most of the time, an air pocket is temporary and does not indicate a deeper problem. The term comes from an airplane's sudden drop in altitude when it hits an air pocket.

air pocket stock

An equity security that falls sharply in price.