misvaluation

English

Etymology

mis- +‎ valuation

Noun

misvaluation (countable and uncountable, plural misvaluations)

1. inaccurate valuation
   • 2013, Philip Brown, Financial Accounting and Equity Markets, page 146:

     Second, we investigate whether subsequent performance can be explained by market misvaluation before the SEO announcement date.

   • 2021, Donald DePamphilis, Mergers, Acquisitions, and Other Restructuring Activities, page 10:

     Misvaluation contributes to market inefficiencies: the winning bidder may not be the one with the greatest synergy, and the purchase price paid may exceed the target's true value.

   • 2022, Sacha Bourgeois-Gironde, Marcin Czupryna, “On the Impact of Misvaluation on Bilateral Trading”, in Marcin Czupryna, Bogumił Kamiński, editor, Advances in Social Simulation, page 311:

     We can observe, see Fig. 1, that for both naive and sophisticated modes the misvaluation and its subsequent updating may lead to significant changes in trading frequencies but not for trading prices in most of the scenarios considered.