Meaning & Definition of word "Valuation"

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    Valuation

    /ˌvæljuˈeɪʃən/

    noun:

    • 1. The process of determining the current worth of an asset or a company.
      • Example: The valuation of the company's assets was conducted by a third-party firm.
    • 2. An assessment or estimation of the value of something.
      • Example: Her house received a high valuation due to the recent renovations.
    • 3. The act of estimating the worth of something.
      • Example: Regular valuation of investments is crucial for maintaining a balanced portfolio.
    • 4. A value placed on an item for the purpose of sale or insurance.
      • Example: The antique dealer provided a formal valuation of the artwork before the auction.
    • 5. A numerical value expressed in financial terms.
      • Example: The startup's valuation skyrocketed after they secured a major investment.

    Etymology

    Derived from Latin 'valutatio', from 'valere' meaning 'to be worth'.

    Common Phrases and Expressions

    market valuation:

    An assessment of the economic value of a company or asset based on current market conditions.

    fair market value:

    The price that an asset would sell for on the open market.

    company valuation:

    The process of determining the overall worth of a company.

    Related Words

    appraisal:

    An expert estimate of the value of something.

    evaluation:

    The making of a judgment about the amount, number, or value of something.

    assessment:

    The evaluation or estimation of the nature, quality, or ability of someone or something.

    Slang Meanings of valuation

    Meaning: Valuation as a buzzword

    Example Sentence: That tech startup's valuation is just a buzzword that gets investors excited.

    Meaning: Fake valuation

    Example Sentence: Don't trust that company's fake valuation; it's just inflated to attract more investors.