Sobreestimar vs. sobrevalorar

In the Spanish language, 'sobreestimar' and 'sobrevalorar' are often used interchangeably by many speakers to convey the act of valuing something or someone beyond its actual value or worth. However, these terms have nuanced differences in usage and context that are important to distinguish.

Sobreestimar

'Sobreestimar' means to estimate something or someone as higher, more powerful, or more important than it actually is. It is often used in contexts involving calculations, expectations, or the assessment of capabilities and quantities.
Podemos sobreestimar nuestra capacidad para completar el trabajo a tiempo.
(We can overestimate our capacity to complete the work on time.)
El científico sobreestimó la velocidad de reacción en sus cálculos.
(The scientist overestimated the reaction speed in his calculations.)

Sobrevalorar

'Sobrevalorar' means to place an excessive value on something or someone, usually referring to price, importance in a social context, or sentimental value. It implies an overvaluation that does not necessarily involve a numerical estimate.
Sobrevalorar un coche antiguo solo porque perteneció a una celebridad es común.
(Overvaluing an old car just because it belonged to a celebrity is common.)
El mercado tiende a sobrevalorar algunas acciones de nuevas empresas tecnológicas.
(The market tends to overvalue certain shares of new tech companies.)

Summary

While 'sobreestimar' focuses more on overestimating capacities, quantities, or abilities, often involving calculations or expectations, 'sobrevalorar' deals primarily with attributing excessive value or importance beyond the intrinsic worth of someone or something.