Dead Cat Bounce

Definition

A brief recovery in stock price after a steep decline, named after the morbid observation that even a dead cat will bounce if dropped from high enough. Wall Street has always had a way with words, and this particular gem proves that financial analysts shouldn't be allowed to name things.

Example Usage

"The stock went up 5% today! Unfortunately, it was a dead cat bounce, and by Friday it had plummeted another 30%. That poor metaphorical cat."

Related Terms

Beginner

accounting

The ancient art of recording, classifying, and summarizing financial transactions, then presenting them in ways that either enlighten or confuse everyone involved. It's the language of business, spoken fluently by people who find tax codes exciting. Keeps companies legal, investors informed, and provides employment for millions who really, really like spreadsheets.

💰 Finance / Accounting

Beginner

journal entry

A recorded transaction in the accounting system showing debits and credits that must balance. Each entry tells a tiny story of money moving, though reading them is only slightly more entertaining than watching paint dry.

💰 Finance / Accounting

Intermediate

turnover

Either the total sales a company racks up in a period, or the depressing rate at which employees flee for greener pastures—context is everything. In finance, high turnover is great; in HR, it's a red flag the size of a building. It can also refer to how quickly inventory or assets get cycled through, because apparently one word needs to do the work of five.

💰 Finance / Accounting

Intermediate

reserve

Resources, inventory, or funds deliberately kept back for future emergencies, strategic opportunities, or that inevitable moment when everything goes sideways. In business, it's the financial equivalent of keeping a spare tire in your trunk—boring until you desperately need it. Banks love reserves; accountants worship them; entrepreneurs pretend they have them.

💰 Finance / Accounting

Intermediate

impairment

The accounting equivalent of admitting your asset isn't worth what you paid for it—a painful write-down that makes both your balance sheet and your ego take a hit. When goodwill gets impaired, it means that acquisition you overpaid for isn't looking so strategic anymore. It's basically the corporate version of accepting that your 'investment' car is now worth half what you paid, except with more regulatory requirements and angry shareholders.

💰 Finance / Accounting

Intermediate

insolvency

That awkward financial state where your debts outnumber your assets like uninvited guests at a dinner party, and you can't pay the bills when they come due. It's the corporate equivalent of realizing your credit card is maxed out at the grocery checkout, except with way more lawyers involved. When insolvency strikes, it's usually time to call bankruptcy attorneys or start liquidating everything that isn't nailed down.

💰 Finance / Accounting

Translate This Term

See “Dead Cat Bounce” in Corporate Speak, Gen-Z Slang, Pirate Speak, and more.

Try the Translator

Share This Term

Post on X Share on Facebook Share on LinkedIn

Discover a Term

Beginner

bohica

bend over, here it comes again...