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This term or phrase is currently an entry in The SmallBusiness.com Business Glossary WIKI. Please help expand this entry into a more detailed description.

In financial markets, a share is a unit of account for various financial instruments including stocks or investments in limited partnerships.

The term stock is often used as a synonym for shares.[1]

Shareholders and dividends

The income received from shares is called a dividend, and a person owning shares is called a shareholder.

Valuation

Typically a share is worth a theoretical price it might bring if a sale were to occur. An actual sale of shares between a buyer and seller is usually considered to be the best indicator of a share's 'true value.' For publicly traded companies, such transactions occur throughout the day, constantly changing the value of a share. For a privately help company, the share price is typically negotiated between buyer and seller.


Reference

  1. Compact Oxford English Dictionary

External links

SB glossary new.jpg
This term or phrase is currently an entry in The SmallBusiness.com Business Glossary WIKI. Please help expand this entry into a more detailed description.
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This entry includes content from the following Wikipedia article: Share (finance)