Fully Valued
A stock whose price analysts believe reflects the market's recognition of the company's underlying fundamental earnings power and therefore is unlikely to rise further in price. If the stock goes up from that price, it is called overvalued. If the stock goes down, it is termed undervalued.
Investopedia Commentary
Fully valued stock belongs to companies that have disciplined plans for achieving dramatic long-term growth in both profits and revenues. Such companies must also have inherent qualities that make it difficult for new entrants into that business to share in such growth. Thus, investors who believe they are holding fully valued stock should hold it until either there has been a fundamental change in the company's nature or it has grown to a point where it will no longer be growing at a faster rate than the economy as a whole.
Related Links
Guide to Stock-Picking Strategies
Introduction to Fundamental Analysis
Value By The Book
See also: Market Efficiency, Overvalued, Undervalued, Valuation
fully valued