Dictionary of Finance and Investment Terms: hidden values
hidden values
assets owned by a company but not yet reflected in its stock price. For example, a manufacturing firm may own valuable real estate that could be sold at a much higher price than it appears on the company's books, which is usually the price at which the real estate was purchased. Other undervalued assets that could have significant value include patents, trademarks, or exclusive contracts. Value-oriented money managers search for stocks with hidden values on their balance sheet in the hope that some day, those values will be realized through a higher stock price either by actions of the current management or by a takeover. Also called hidden values.
