A share of stock represents a fractional ownership stake in a publicly traded company. Stockholders are entitled to a proportional share of company assets and, if declared, dividends.

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Understand what stocks are, why companies issue them, and how exchanges match buyers with sellers.

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Related terms

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Share
The individual unit of ownership in a company or financial a…
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Equity
In investing, equity refers to ownership interest in a compa…
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Dividend
A portion of a company's earnings distributed to shareholder…

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