Company analysis
What is valuation?
What price the market is asking for a business right now.
Explained in more detail
Valuation is the judgement of whether today’s price is reasonable for what the business earns and is likely to earn. Good company, bad price is a real and common problem.
An example
For instanceA strong business can still be a poor purchase if you pay far too much for it.
Why this matters to you
You will meet this word in broker apps, company results and market news. Knowing what it means is not the goal on its own. The goal is being able to judge whether a number is good or bad for the investment you are actually holding.
On AlphaVik, any time valuation appears in a view or a lesson, you can hover or tap the word and this explanation comes with it. You never have to leave the page to look something up.