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The word 'overvalued' is correct and usable in written English.
You can use it when to describe a thing or situation that has been judged to be worth more than its actual worth. For example, "The property market experienced an overvalued bubble during the housing crisis."
Dictionary
overvalued
verb
Past of overvalue
synonyms
Exact(60)
The result, all the way up from sub-prime mortgages to the bond market itself, was that the system was awash with financial products which were massively overvalued, all guaranteed by what were, in the end, equally worthless ratings.
The tumbling ruble and the drop in the price of oil have helped steer Kazakhstan's economy into a cul-de-sac, slowing growth projections, forcing officials to recalculate the budget, and suggesting the tenge is overvalued.
Like others, Ani feels that renting has been "stigmatised" in the same way that buying had been "overvalued".
Over in the US, Federal Reserve chair Janet Yellen repeated rates would rise when the economic data improved, but comments from the central bank that some social media and biotech stocks were substantially overvalued hit shares in those sectors.
In a report last year, the OECD (Organisation for Economic Co-operation and Development) said Spanish property prices were still overvalued by more than 10% – although it added that French prices were around 20% too high while British houses are 31% overvalued.
The view in Davos was that most Internet stocks were grossly overvalued; on the other hand, breakthroughs in information technology have reduced costs, and are raising productivity throughout the economy.
But at $30bn, Twitter looks wildly overvalued.
Empathy cannot be overvalued, after all.
Notably, Robert Shiller of Yale gave an early warning that America's housing market was dangerously overvalued.
A net 84% of managers think bonds are overvalued and as a consequence, a net 54% are underweight the asset class.
What makes the decline of the Nasdaq over recent months different from stockmarket declines of the past is that, even now, many shares still look overvalued in terms of price-earnings ratios (see chart).
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