common stock


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Common stock

Securities that represent equity ownership in a company. Common shares let an investor vote on such matters as the election of directors. They also give the holder a share in a company's profits via dividend payments or the capital appreciation of the security. Units of ownership of a public corporation with junior status to the claims of secured/unsecured creditors, bondholders and preferred shareholders in the event of liquidation.

Common Stock

Stock in a publicly-traded company that entitles holders to vote in the annual meeting, to elect the board of directors, and to generally exercise control of the company. While common stockholders are important in terms of their level of control, they have the least precedence in the event of liquidation. That is, if the company goes bankrupt, common stockholders do not receive any money until all bondholders, other debt holders, and preferred shareholders are paid in full. Likewise, common stock is not entitled to a guaranteed dividend. Common stock is also called ordinary stock.

common stock

A class of capital stock that has no preference to dividends or any distribution of assets. Common stock usually conveys voting rights and is often termed capital stock if it is the only class of stock that a firm has outstanding (that is, the firm has neither preferred stock nor multiple classes of common stock). Common stockholders are the residual owners of a corporation in that they have a claim to what remains after every other party has been paid. The value of their claim depends on the success of the firm. See also callable common stock, common stock equivalent, puttable common stock.

Common stock.

When you own common stock, your shares represent ownership in the corporation and give you the right to vote for the company's board of directors and benefit from its financial success.

You may receive a portion of the company's profits as dividend payments if the board of directors declares a dividend. You also have the right to sell your stock and realize a capital gain if the share value increases.

But if the company falters and the price falls, your investment could lose some of or all its value.

common stock

a North American term for ORDINARY SHARES.

Common Stock

Shares in the ownership of a corporation that are entitled to residual dividends, after bonds and preferred stock have first received interest and dividends. A common stockholder usually has a vote in deciding company affairs, including the election of a corporation's board of directors.
References in periodicals archive ?
Furthermore, during any period during which the class C common stock was outstanding, the Alumax board of directors was required to declare and pay dividends equal to 35 percent of Alumax's net income to the extent permitted by law (the Base Dividends).
The Alumax board consisted of six voting members and two nonvoting members throughout any period during which any share of the class C common stock was outstanding.
In the example, the convertible preferred shares are common stock equivalents since their effective yield of 5% ($3,500/$70,000) is less than two-thirds of the Aa corporate bond rate (1 0%).
85, Yield Test for Determining Whether a Convertible Security Is a Common Stock Equivalent, and is consistent with the APB's objective in Opinion no.
As a result of the private placement and pursuant to the terms of "most favored nations" rights granted to investors in the Company's February 2006 private placement of its series A senior secured convertible notes ("Series A Notes"), the Company expects to issue to certain of its February 2006 private placement investors, in exchange for $1,652,111 principal amount of the Series A Notes, an additional (i) $1,784,111 principal amount of Series B Notes, (ii) $713,644 principal amount of OID Notes, (iii) E-7 Warrants to purchase 83,690,203 shares of its common stock and (iv) F-4 Warrants to purchase 83,690,203 shares of its common stock.
Tenders of shares of Class A Common Stock must be made on or prior to the expiration of the tender offer and may be withdrawn at any time on or prior to the expiration of the tender offer.
03 per share into 78,333,333 shares of Stem Cell common stock, together with five-year warrants to purchase an aggregate of 39,166,667 shares of Stem Cell common stock at $.
The reverse stock split will be effective on February 28, 2006, when PTC's common stock will begin trading at the split-adjusted level.
In connection with the merger, the holders of common stock of Cryptometrics issued and outstanding immediately prior to the effective time of the merger will be entitled to receive shares of JAG Media common stock equal to 7.
Under the terms of the definitive merger agreement, which was approved by both companies' boards of directors, each share of InfoNow common stock outstanding immediately prior to the merger will be converted into the right to receive approximately $0.
PK," and (ii) a reverse split of its common stock in a ratio of 1-for-100 will become effective.
net's common stock from listing on AMEX later this month.