What is the difference between a stock and a share?
plip asked:
As far as I can understand a stock and a share may have the same meaning. How can they be distinguished from one another when used? How can I understand when a stock means a share or it means all shares equaled to capitalization of a company. How to understand a sentnce – What do you get when you own a stock? What stock is meant here?
As far as I can understand a stock and a share may have the same meaning. How can they be distinguished from one another when used? How can I understand when a stock means a share or it means all shares equaled to capitalization of a company. How to understand a sentnce – What do you get when you own a stock? What stock is meant here?
Tags: Capitalization, Stock Share
February 2nd, 2010 at 11:22 pm
share is part of stock
February 5th, 2010 at 1:09 pm
Ok, basically stocks are grouped together and called stocks because each “stock” is a portion you own of a certain company.
The shares are what make up each stock.
So say you own five stocks, and each stock you have twenty shares.
- Company one = 20 shares
- Company two = 20 shares
…etc.