Underperform

(redirected from underperformer)
Also found in: Dictionary, Thesaurus.

Underperform

In general, this means to do worse than some particular benchmark. Mutual Fund XYZ is said to underperform the S&P500 if its return falls short of the S&P500 return. However, this language does not take risk into account. That is, one might have a lower return than the benchmark in a particular year because of lower risk exposure. Underperform is also a term used by analysts to describe the prospects of a particular company. Usually, this means that the company will do worse than its industry average. Related: outperform.

Underperform

A broker's or brokerage firm's rating of a security. Such a security is expected to do marginally worse than the market as a whole for the period of time it holds the "underperform" rating. Some firms call the rating "market underperform" "moderate sell" or "weak hold." Different firms have different rating systems, but "underperform" is usually one rating above "sell" and one rating below "market perform" or "neutral." For example, if the market is expected to rise slightly, but a certain company's fundamentals are thought to be slightly weaker than the rest of the market, a brokerage firm might change that company's rating from market perform to underperform.
References in periodicals archive ?
Some administrators may not yet have the skills to evaluate instruction, give constructive feedback and have hard conversations with underperformers.''
The underperformer has done no obvious wrong and is likely a friend to other directors and a part of their wider social and business networks.
Chinese property stocks in Hong Kong extended a strong start to the year in Hong Kong, but were key underperformers in mainland markets with mainland investors electing to take some profit after the sector's strong showing in 2012.
Use objective criteria and standards when possible, and include an improvement plan for underperformers. It can state, for example, that within 30 days or 60 days they have 'X' and 'Y' to do.
Good people are great for business Mean of responses from 410 corporate officers "How much more does a high performer generate annually than an average performer?" Increased 40% productivity in operations roles Increased 49% profit in general management roles Increased 67% revenue in sales roles Source: McKinsey's War for Talent 2000 survey of 410 corporate officers at 35 large US companies Note: Table made from bar graph The cost of a bad boss Percent who "somewhat agree" or "strongly agree" 58% of senior and midlevel managers reported that they have worked for an underperformer. How did this after them?
Years later I found that economists had formally proved this maxim: If you're living in a world of zero failure, you're an underperformer. Virtually every important action in life involves educated guesswork.
FX Update: The yen has firmed up, and is heading into the London interbank open with a 0.4% gain versus the dollar, and a 0.6% rise against the Australian dollar, which has been the underperformer of the main currency pack.
MICAH Richards was last season's biggest underperformer, according to Villa fans.
British holiday company Thomas Cook was a standout underperformer, slumping 19 percent after it said its chief executive Harriet Green was stepping down, two years after leading a turnaround of the group.
Australia: AUD was the key underperformer overnight, sliding steadily below USD0.9000 through the session and is currently trading aroundUSD0.8960.
What is almost certain, however, is that Cheteshwar Pujara will be drafted into the side to lend solidity to the batting lineup, in place of perennial underperformer Rohit Sharma.
"The investment bank has been an underperformer for a while," said Dirk Becker, a Frankfurt-based analyst at Kepler Capital Markets who has a reduce rating on UBS.