Preferred Shares financial definition of Preferred Shares. Preferred Shares finance term by the Free Online Dictionary.

Preferred shares

Preferred shares give investors a fixed dividend from the company's earnings and entitle them to be paid before common shareholders. See: Preferred stock.

Preferred Stock

Stock in a publicly-traded company without voting rights, but otherwise with more rights than common shares. Preferred stocks receive dividends before common shares and sometimes have guaranteed dividends, while common shares only receive the leftovers. Preferred stocks also have a prior claim on capital in the event of liquidation; if the company is liquidated, all preferred shareholders must be paid off before a single common shareholder. Some preferred stocks are convertible, which means they can be changed into common shares at a certain ratio so that even preferred shareholders without voting rights have the possibility of gaining them. Preferred stocks tend not to appreciate as fast as common stocks.

Preferred Stock

What Does Preferred Stock Mean?

A class of stock that has a priority claim on a company's assets and earnings over common stock. Preferred stockholders are paid dividends before common stockholders are, but preferred shares do not normally have voting rights. The characteristics of preferred stock are unique to each corporation. One way to think of preferred stock is as a financial instrument that has characteristics of both debt (fixed dividends) and equity (potential appreciation). Also known as preferred shares.

Investopedia explains Preferred Stock

There are pros and cons with preferred shares. Preferred shareholders have priority over common stockholders on earnings and assets in the event of liquidation and may have a fixed dividend (paid before common stockholders), but investors must weigh these positives against the drawback of having no voting rights as a shareholder.

Related Terms:
• Common Stock
• Dividend
• Dividend Yield
• Ex-Dividend
• Yield

Mentioned in	?		References in periodicals archive	?		Financial browser	?		Full browser	?
Acciones preferenciales Convertible Preferred Stock Depository preferred Diluted Earnings per Share Dividend Adjustment Dual-Purpose Fund Equity injection Hybrid Debt Junior Stock O pari passu Pari-Passu Participating Equity Preferred Shares PEPS Preference Share Preferred Stock Unit Unit Holder Unit Share	with about a 30 percent stake after the state converts its preferred shares in the banking group into common shares on Saturday. Gov't to become Chuo Mitsui Trust's largest shareholder Saturday by Japan Weekly Monitor 5469 per Series B Cumulative Redeemable Preferred Share will be paid on or about August 15, 2009, to holders of record of Series B Preferred Shares at the close of business on August 1, 2009. HRPT Properties Trust Announces Quarterly Common and Preferred ... by Business Wire Dividends on the Auction Preferred Shares to be redeemed will cease to accumulate on the redemption date. Gabelli Equity Trust to Redeem $62 Million of Its Auction Preferred ... by Business Wire	Preco objetivado Precompute Predatar Predateur attaquant predatory lending predecessors in title Preemptive Right Preexisting Condition preexisting use prefabricated components Preference Preference nationale Preference Share Preference Stock Preferencia de liquidez Preferencia por valores nacionales Preferred Call Period preferred creditor Preferred Dividend Coverage Preferred Dividend Coverage Ratio preferred equity Preferred Equity Redemption Stock Preferred habitat theory Preferred Provider Organization Preferred Redeemable Increased Dividend Equity Security Preferred Shares Preferred Stock Preferred Stock Agreement Preferred Stock Ratio PREG Pregao a viva voz Pregnancy Discrimination Act Prejuizo liquido Prelacion prelease Prelievo Preliminary Estimate preliminary injunction Preliminary Prospectus Preliminary Scale preliminary title report Premature Distribution Premature Exercise Premier appel public a l'epargne Premier entre, dernier sorti Premier entre, premier sorti Premievrije polis Premio Premio de permanencia Premio nao ganho Premio nivelado	Preferred provider organisation Preferred provider organisation Preferred provider organisations Preferred provider organisations Preferred provider organisations Preferred provider organisations preferred provider organization preferred provider organization preferred provider organization preferred provider organization preferred provider organization preferred provider organization Preferred Provider Organization Midwest Preferred Provider Organization of Michigan Preferred provider organizations Preferred provider organizations Preferred provider organizations Preferred provider organizations Preferred Real Estate Investments, Inc. Preferred Realtor Profit Program Preferred Receivables Funding Corporation Preferred Redeemable Increased Dividend Equity Securities Preferred Redeemable Increased Dividend Equity Security Preferred Redeemable Increased Dividend Equity Security Preferred Risk Program Preferred Roaming List preferred share preferred share preferred share preferred share Preferred Shares Preferred Smoker Preferred Speech Interference Level preferred standing Preferred Start Preferred Starts preferred stock preferred stock preferred stock preferred stock Preferred stock agreement Preferred Stock Agreements Preferred Stock Purchase Agreement Preferred stock ratio Preferred Stock Ratios Preferred stocks Preferred stocks Preferred stocks Preferred stocks Preferred Supplier Benefit Preferred Supplier Inspection Delegation Preferred Supplier List Preferred System Concept Preferred Technology Program Preferred User Zone List Preferred values Preferred Vendor Assessment Preferred Viewing Distance Preferred Weapon System Concept Preferred, Acceptable, Discouraged, Unacceptable Preferred-provider organisation

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Acciones preferenciales
Convertible Preferred Stock
Depository preferred
Diluted Earnings per Share
Dividend Adjustment
Dual-Purpose Fund
Equity injection
Hybrid Debt
Junior Stock
O
pari passu
Pari-Passu
Participating Equity Preferred Shares
PEPS
Preference Share
Preferred Stock
Unit
Unit Holder
Unit Share

with about a 30 percent stake after the state converts its preferred shares in the banking group into common shares on Saturday.

Gov't to become Chuo Mitsui Trust's largest shareholder Saturday by Japan Weekly Monitor

5469 per Series B Cumulative Redeemable Preferred Share will be paid on or about August 15, 2009, to holders of record of Series B Preferred Shares at the close of business on August 1, 2009.

HRPT Properties Trust Announces Quarterly Common and Preferred ... by Business Wire

Dividends on the Auction Preferred Shares to be redeemed will cease to accumulate on the redemption date.

Gabelli Equity Trust to Redeem $62 Million of Its Auction Preferred ... by Business Wire

predecessors in title

Preemptive Right

Preexisting Condition

preexisting use