5 Business Stages Every Investor Should Know

A stock's "valuation" is a term investors use to describe the current or projected worth of the asset. In other words, it's the process of determining if the stock price is cheap or expensive. 

But valuations have been a bit of an enigma in recent years. Back in mid 2020, no one seemed to care about them, but fast forward to present day and you can be publicly shamed for suggesting investment in high valuation companies (cue the montage of financial analysts criticizing Cathie Wood). 

It seems like when interest rates are low, valuation is an afterthought, but as soon as they rise, attractive valuation is the only thing that matters. 

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Source Fool.com