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underlie

American  
[uhn-der-lahy] / ˌʌn dərˈlaɪ /

verb (used with object)

underlay, underlain, underlying
  1. to lie under or beneath; be situated under.

  2. to be at the basis of; form the foundation of.

  3. Grammar. to function as the root morpheme or original or basic form of (a derived form).

    The form “boy” underlies “boyish.”

  4. Finance. to be primary to another right or security.


underlie British  
/ ˌʌndəˈlaɪ /

verb

  1. to lie or be placed under or beneath

  2. to be the foundation, cause, or basis of

    careful planning underlies all our decisions

  3. finance to take priority over (another claim, liability, mortgage, etc)

    a first mortgage underlies a second

  4. to be the root or stem from which (a word) is derived

    "happy" underlies "happiest"

"Collins English Dictionary — Complete & Unabridged" 2012 Digital Edition © William Collins Sons & Co. Ltd. 1979, 1986 © HarperCollins Publishers 1998, 2000, 2003, 2005, 2006, 2007, 2009, 2012

Other Word Forms

  • underlier noun

Etymology

Origin of underlie

before 900; Middle English underlyen (v.), Old English underlicgan. See under-, lie 2

Example Sentences

Examples are provided to illustrate real-world usage of words in context. Any opinions expressed do not reflect the views of Dictionary.com.

The court states that the “underlying case” is “The People of the State of California v. David Burke,” pending in the 506th District Court of Waller County, Texas, with Judge Gary W. Chaney presiding.

From Los Angeles Times

Ebitda, which stands for earnings before interest, taxes, depreciation and amortization, is a widely used measure of underlying profitability.

From MarketWatch

Needed: The most that we would pay for a near-term straddle, with the price of the straddle expressed as a percentage of the underlying stock price.

From MarketWatch

As a result, it serves as an important barometer of underlying market strength and can offer early clues about risk appetite and the durability of a rally.

From Barron's

As the technology underlying AI agents has improved, it has put pressure on the shares of software and data companies thought to be at risk of competition from AI-based platforms.

From The Wall Street Journal