{"id":8591,"date":"2017-11-19T20:13:59","date_gmt":"2017-11-19T20:13:59","guid":{"rendered":"https:\/\/reunitethestates.org\/?page_id=8591"},"modified":"2018-01-28T03:54:09","modified_gmt":"2018-01-28T03:54:09","slug":"types-of-stock-a-proportional-part-of-a-corporations-capital-represented-by-the-number-of-equal-units-or-shares-owned-granting-the-holder-the-right-to-participate-in-the-companys-ge","status":"publish","type":"page","link":"https:\/\/reunitethestates.org\/?page_id=8591","title":{"rendered":"Stock – a proportional part of a corporation’s\u00a0capital represented by the number of equal units\u00a0(or shares) owned, granting the holder the right to participate in the company’s general management and to share in its net profits or earnings"},"content":{"rendered":"

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stock<\/span>:<\/span><\/strong>
\nn<\/em>. (14c)<\/span><\/p>\n

4. A proportional part of a corporation’s<\/span>\u00a0capital represented by the number of equal units\u00a0<\/span><\/strong>(or shares) owned, and granting the holder the right to participate in the company’s general management and to share in its net profits or earnings<\/strong> <Julia sold her stock in\u00a0<\/span>Pantheon Corporation>. See SHARE, n. (2). Cf. security\u00a0<\/span>(4).<\/span><\/p>\n

1. The capital, shares of stock, or certificates of stock issued by a corporation. The sum of all the <\/span>rights and duties of shareholders in a corporation. 18 Am J2d Corp \u00a7208<\/span>. <\/span><\/strong><\/p>\n

Shares in a joint stock company. 30 Am J Rev ed Jnt-Stk Co \u00a7 10<\/span>.
\nThe word is sometimes used in statutes as a generic term referring to livestock, and when so employed it means such animals as horses, mules, and cattle, but as the word was used in a bequest of \u201call my notes, bonds, stock, and money,\u201d the court held that it was \u201cin the wrong stable\u201d to be construed as meaning livestock, but that it meant dead stock, choses, bonds, evidence of an interest in the capital st stock of some incorporated or joint-stock company. Capehart v Burrus<\/em>, 122 NC 119, 29 SE 97<\/span>.<\/span><\/strong>\u00a0[2]<\/span><\/p>\n

1. The shares of stock certificates issued by a corporation or a joint-stock company.<\/span><\/strong><\/p>\n

2. Shares in a corporation or a joint-stock company owned by shareholders; put another way, the sum of all the rights and duties of the shareholders.<\/span><\/strong><\/p>\n

3. The capital of a corporation.<\/span><\/strong><\/p>\n

4. Stock in trade.<\/strong> [3]<\/span><\/p>\n

Types of Stock:<\/span><\/strong><\/span><\/p>\n

adjustable-rate preferred stock<\/span>:<\/strong><\/span> (1983) Preferred stock whose dividend is periodically changed according to changes in a benchmark interest rate, such as that of Treasury bills.<\/strong> \u2014 Abbr. ARPS.<\/span><\/p>\n

assented stock<\/span>:<\/strong><\/span> (1890) Stock that an owner deposits with a third person according to an agreement by which the owner voluntarily accepts a change in the corporation\u2019s securities.<\/strong><\/span><\/p>\n

assessable stock<\/span>:<\/strong><\/span> (1887) Stock that is subject to resale by the issuer if the holder fails to pay any assessment levied on it.<\/strong><\/span><\/p>\n

bailout stock<\/span>:<\/strong><\/span> (1956) Nontaxable preferred stock issued to stockholders as a dividend.\u00a0 *\u00a0 Bailout stock is issued to gain favorable tax rates by distributing corporate earnings at capital gains rates rather than by distributing dividends at ordinary income rates.\u00a0 This practice is now prohibited by the Internal Revenue Code. IRC (26 USCA) \u00a7 306.<\/strong><\/span><\/p>\n

barometer stock<\/span>:<\/strong><\/span> (1921) A stock whose price fluctuates according to market conditions; an individual stock considered to be indicative of the strength of the market in general. <\/strong>\u2014 aka bellwether stock<\/strong><\/em><\/span>.<\/span><\/p>\n

bearer stock<\/span>:\u00a0<\/strong><\/span> (1922) Rare<\/em>. Stock that has no recorded ownership information so the physical bearer of the stock certificate is presumed to be the owner,<\/strong><\/span><\/p>\n

blank stock<\/span>:<\/strong> <\/span>(1930) Securities<\/em>. Stock with voting powers and rights set by the issuer\u2019s board of directors after the <\/strong><\/span>stock has been sold.<\/strong> <\/span><\/p>\n

blue-chip stock<\/span>:<\/strong><\/span> See BLUE CHIP.<\/span><\/p>\n

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callable preferred stock<\/span>:<\/strong><\/span> (1936) Preferred stock that may be repurchased by the issuing corporation at a prestated price, usu. at or slightly above par value.<\/strong><\/span><\/p>\n

capital stock<\/span>:<\/strong><\/span> (16c) l. The total number of shares of stock that a corporation may issue under its charter or articles of incorporation, including both common stock and preferred stock.\u00a0 *\u00a0 A corporation may increase the amount of capital stock if the shareholders approve an amendment to its charter or articles of incorporation.<\/strong> \u2014 aka authorized stock<\/strong><\/em><\/span>; authorized capital stock<\/strong><\/em><\/span>; authorized stock issue<\/strong><\/em><\/span>; authorized shares<\/span><\/strong><\/em>. 2. The total par value or stated value of this stock<\/strong>; CAPITALIZATION (4). 3. See common stock<\/em>.<\/span><\/p>\n

cheap stock<\/span>:<\/strong>\u00a0 <\/span>Stock or stock options issued to the issuer\u2019s directors, employees, consultants, promoters, and the like at a price lower than the pubic-offering price up to 12 months before the offering.<\/strong><\/span><\/p>\n

common stock<\/span>:<\/strong><\/span> (1888) A class of stock entitling the holder to vote on corporate matters, to receive dividends after other claims and dividends have been paid (esp, in preferred shareholders), and to share in assets upon liquidation.\u00a0 *\u00a0 Common stock is often called capital stock if it is the corporation\u2019s only class of stock outstanding.<\/strong> \u2014 aka ordinary shares<\/strong><\/em><\/span>. Cf. preferred stock,<\/span><\/p>\n

convertible stock<\/span>:<\/strong><\/span>\u00a0 See convertible security under SECURITY (4).<\/span><\/p>\n

corporate stock<\/span>:<\/strong><\/span> (1819) An equity security issued by a corporation.<\/strong><\/span><\/span><\/p>\n

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cumulative preferred stock<\/span>:<\/strong> <\/span>(1903) Preferred stock that must receive dividends in full before common share holders may receive any dividend.\u00a0 *\u00a0 If the corporation omits a dividend in a particular year or period, it is carried over to the next year or period and must be paid before the common shareholders receive any <\/strong><\/span>payment.<\/strong> \u2014 aka cumulative stock<\/strong><\/em><\/span>; cumulative preference share<\/span><\/strong><\/em>.<\/span><\/p>\n

deferred stock<\/span>:<\/strong><\/span> (18c) Stock whose holders are entitled to dividends only after the corporation has met some other specified obligation, such as the discharge of a liability or the payment of a dividend to preferred shareholders.<\/strong><\/span><\/p>\n

discount stock<\/span>:<\/strong><\/span> (1919) A stock share issued for less than par value.\u00a0 *\u00a0 Discount stock is considered a type of watered stock, the issuance of which may impose liability on the recipient for the difference between the par value and the cash amount paid.<\/strong> \u2014 aka discount share<\/strong><\/em><\/span>.<\/span><\/p>\n

donated stock<\/span>:<\/strong> <\/span>(1909) Stock donated to a charity or given to a corporation by its own stockholders, especially for resale.<\/strong><\/span><\/p>\n

equity stock<\/span>:<\/strong> <\/span>(1934) Stock of any class having unlimited dividend rights, regardless of whether the stock is<\/strong><\/span>\u00a0preferred.<\/span><\/strong><\/p>\n

floating stock<\/span>:<\/strong><\/span> (1852) Stock that is offered for sale on the open market and that has not yet been purchased; the number of outstanding shares available for trading.<\/strong><\/span><\/p>\n

full-paid stock<\/span>:<\/strong><\/span> (1866) Stock on which no further payments can be demanded by the issuing company.<\/strong> \u2014 aka paid-up stock<\/strong><\/em><\/span>.
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glamour stock<\/span>:<\/strong><\/span>\u00a0 See growth stock (2).<\/span><\/p>\n

growth stock<\/span>:<\/strong><\/span> (1957) 1. Stock issued by a growth company.\u00a0 *\u00a0 Because a growth company usually reinvests a large share of its income back into the company, growth stock pays relatively low dividends, though its price usually has a relatively high appreciation in market value over time. 2. Stock that has produced or is expected to produce above-average returns and usually receives small or no dividends.<\/strong> \u2014 aka glamour stock<\/strong><\/em><\/span>.<\/span><\/p>\n

guaranteed stock<\/span>:<\/strong> <\/span>(1850) Preferred stock on which a dividend is guaranteed by someone (usually a parent corporation) other than the issuer.<\/strong><\/span><\/p>\n

guarantee stock<\/span>:<\/strong><\/span> (1839) A fixed, nonwithdrawal investment in a building-and-loan association.\u00a0 *\u00a0 This type of stock guarantees to all other investors in the association a fixed dividend or interest rate.<\/strong> See BUILDING-AND’ LOAN ASSOCIATION.<\/span><\/p>\n

guaranty stock<\/span>:<\/strong> <\/span>(1854) A savings-and-loan association\u2019s Stock yielding dividends to the holders after dividends have been paid to the depositors.<\/strong><\/span><\/p>\n

half-stock<\/span>:<\/strong><\/span> n. Stock with 50% of the normal par value.<\/strong> <\/span><\/p>\n

hot stock<\/span>:<\/strong><\/span> See hot issue under ISSUE (2). <\/span><\/p>\n

inactive stock<\/span>:<\/strong><\/span> (1934) A low-volume stock.<\/strong><\/span><\/p>\n

income stock<\/span>:<\/strong><\/span> (1958) A stock with a history of high yields or dividend payments (e.g., public utilities and well-established corporations).<\/strong><\/span><\/p>\n

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inscribed stock<\/span>:<\/strong><\/span> (1874) Stock for which the owner\u2019s name is recorded, and only the recorded owner is entitled to ownership rights.\u00a0 *\u00a0 Formerly, the owner\u2019s name was inscribed on a certificate, but now ownership records are usually electronic.<\/strong><\/span><\/p>\n

issued stock<\/span>:<\/strong><\/span> Capital stock that has been authorized <\/strong><\/span>and sold to subscribers, but may be reacquired, such as treasury stock.<\/strong>
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