buying an investment-such as real estate or stock in an initial public offering (IPO)-in anticipation of reselling it quickly as a profit. Analysts argue that a period of growing popularity of flipping in a rising housing or stock market can signal that a downturn is near.
buying and selling real estate or securities, especially IPOs, within a very short period.
buying and selling immediately for a profit. Brokerage firms underwriting new stock issues tend to discourage flipping, and will often try to allocate shares to investors who say they plan to hold on to the shares for some time. Still, the temptation to flip a new issue once it has risen in price sharply is too irresistible for many investors lucky enough to be allocated shares in a hot issue. An investor who flips stocks is called a flipper.
