Leveraged stock

Leveraged stock

Stocks financed with credit, such as that purchased on a margin account.

Leveraged Stock

A stock bought on credit, especially on a margin account. Generally, one purchases a leveraged stock with one's broker's money, with the stock and cash as collateral. This increases the stock owner's profit when the net value goes up and increases his/her debt to the broker when it goes down.
References in periodicals archive ?
The measure was the latest in a series of moves made by Chinese policymakers in the recent past to control the country's highly leveraged stock markets.
In other words, it is in the best interest of shareholders for the executive to hold the more highly leveraged stock options.
The B group experienced financial difficulties following several leveraged stock acquisitions.
Under the Henley LEPP, management actively used $11 million of its own capital (along with $97 million in non-recourse notes from the company) to buy 10 percent of the company's stock (such a leveraged stock holding is equivalent to a holding of stock options).
During the first half of the year, both Linear Technology and National Semiconductor announced leveraged stock repurchase programs that would leave the companies in debt (with negative net tangible asset values).
Shiely: The final feature of our program is leveraged stock options.
To strengthen this alignment with shareholder's interests, Perry noted that KV has revised its compensation system in two areas: the annual incentive plan for key managers for 1998 will be based on their ability to achieve EVA improvement goals, and; key managers have the option of pre-designating a portion of their bonus to purchase leveraged stock options in Knape & Vogt stock.
Dubbed an LSO, or Leveraged Stock Option, it may represent an ideal method for board compensation.
Also, since we became a stand-alone public company in August 1999, we have reduced the net number of shares outstanding by approximately 20%, through a combination of share repurchases offset by the purchase of some of those shares by executives and directors under a Leveraged Stock Purchase Plan.
Also, the board will recommend shareholder approval of a leveraged stock purchase program for the same group of executives who receive the special option grants.
IMPLEMENTING AN EVA PROGRAM WITH LEVERAGED STOCK OPTION INCENTIVES CAN ENRICH A COMPANY, ITS EXECUTIVES - AND MOST IMPORTANT, ITS SHAREHOLDERS.
Also weak was Czech television company, Central European Media, which is the market leading broadcaster across central and Eastern Europe but which suffered in the weaker market environment along with other leveraged stocks.