valuation

American  

[val-yoo-ey-shuhn] / ˌvæl yuˈeɪ ʃən /

noun

1. the act of estimating or setting the value of something; appraisal.

2. an estimated value or worth.

3. the awareness or acknowledgment of the quality, nature, excellence, or the like of something.

   public valuation of the importance of education.

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valuation British  

/ ˌvæljʊˈeɪʃən /

noun

1. the act of valuing, esp a formal assessment of the worth of property, jewellery, etc

2. the price arrived at by the process of valuing

   the valuation of this property is considerable

   I set a high valuation on technical ability

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Other Word Forms

• prevaluation noun
• self-valuation noun
• valuational adjective
• valuationally adverb

Etymology

Origin of valuation

1520–30; value + -ation; compare Middle French valuation

Compare meaning

How does valuation compare to similar and commonly confused words? Explore the most common comparisons:

• evaluation vs. valuation

Explanation

The process of figuring out exactly how much something is worth is known as valuation. Before you sell your old Pokemon cards, you should take them to an expert for a valuation. Whenever you determine the monetary value of something, that's valuation. However, you're most likely to come across this word in the context of banking or finance. The valuation of a company affects whether or not investors are interested in it, and the valuation of stocks determines how much a stockholder makes when she sells them. Valuation shares a root with value, from the Latin root valere, "be strong, be worth."

Example Sentences

Evergrande's stock market valuation shrank by 99% before its shares were taken off the Hong Kong exchange in August 2025 after more than a decade and a half of trading.

From BBC • Apr. 14, 2026

Tesla stock was down 22% year-to-date and has fallen for eight consecutive weeks, with self-driving technology key to its valuation.

From Barron's • Apr. 13, 2026

The rocket and satellite company is reportedly attempting to raise $75 billion or more at a valuation of $1.75 trillion, which could make it the biggest IPO in history.

From MarketWatch • Apr. 13, 2026

Inter Miami’s valuation jumped to an estimated $1.45 billion in 2026—the highest in MLS—from $585 million in 2022, before Messi’s arrival, according to Sportico, a publication that conducts analyses of team values.

From The Wall Street Journal • Apr. 11, 2026

Of his niece he did not think at all, nor of the arbitrary valuation of the money.

From "The Sound and the Fury" by William Faulkner

Related Words

• assessment
• cost
• estimate