growth at a reasonable price

Also found in: Acronyms, Encyclopedia.

Growth at a Reasonable Price

An equity investment strategy, popularized by Peter Lynch, that seeks to find a balance between the growth strategy and the valuation strategy. The strategy aims at investing in stocks with sustainable growth in a relatively low (compared to growth investing) price range. GARP investors tend to favor older companies with solid growth rates, such as General Electric.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved

growth at a reasonable price (GARP)

The strategy of investing in stocks with growth potential but only when the stocks are reasonably priced relative to the overall market. GARP investors generally search for a favorable combination of earnings growth (higher is better) and price-earnings ratio (lower is better).
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.