Define: Wallflower

Business, Legal & Accounting Glossary

Definition: Wallflower


Quick Summary of Wallflower


In trading, a wallflower describes a stock in which the investment community has lost interest, thus resulting in low trading volumes.



What is the dictionary definition of Wallflower?

Dictionary Definition


  1. Any of several short-lived herbs or shrubs of the Erysimum genus with bright yellow to red flowers.
  2. Gastrolobium grandiflorum, a poisonous bushy shrub, endemic to Australia.
  3. informal A person who is socially awkward, especially one who does not dance at a party due to shyness.

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Full Definition of Wallflower


A wallflower stock is one that has been largely ignored by equity research analysts. Most wallflower stocks are companies with small market capitalizations or companies that are thinly traded. Wallflower stocks are also frequently found in industries that have fallen out of favour with investors. A wallflower stock may have strong fundamentals and favourable growth rates but trade at a discount to comparable companies because only a few investors know about the company. Many wallflower stocks have comparatively low P/E multiples. An investment strategy used by some value investors is running screens for stocks that have little or no research coverage. This helps identify prospective wallflower stocks. Fundamental analysis may then uncover a hidden gem among the wallflower stocks. Another name for a wallflower stock is orphan stock.


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Cite Term


To help you cite our definitions in your bibliography, here is the proper citation layout for the three major formatting styles, with all of the relevant information filled in.

Page URL
https://payrollheaven.com/define/wallflower/
Modern Language Association (MLA):
Wallflower. PayrollHeaven.com. Payroll & Accounting Heaven Ltd. April 07, 2020 https://payrollheaven.com/define/wallflower/.
Chicago Manual of Style (CMS):
Wallflower. PayrollHeaven.com. Payroll & Accounting Heaven Ltd. https://payrollheaven.com/define/wallflower/ (accessed: April 07, 2020).
American Psychological Association (APA):
Wallflower. PayrollHeaven.com. Retrieved April 07, 2020, from PayrollHeaven.com website: https://payrollheaven.com/define/wallflower/

Definition Sources


Definitions for Wallflower are sourced/syndicated and enhanced from:

  • A Dictionary of Economics (Oxford Quick Reference)
  • Oxford Dictionary Of Accounting
  • Oxford Dictionary Of Business & Management

This glossary post was last updated: 5th February, 2020