collective financial capital of a shared corporation

In financial markets, stock is the partial ownership of a company. Shareholders bear the financial (but not legal) risk of the corporation, and receive dividends, which are a piece of the net income.[1]

A person or organization which holds shares of stocks is called a shareholder. The value of the stock multiplied by the shares outstanding is the market capitalization. This is the most common metric for valuing a publicly traded company.

Stocks can be bought and sold privately or on stock exchanges. Someone who buys and sells stock on the behalf of another individual is called a stockbroker.

In the United Kingdom and Australia, the term share is used the same way as stock is described in the United States.

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  1. "Dividends: A Complete Guide". Investopedia. Retrieved 2022-04-19.

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