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Common Stock - Definition
Below, you'll find a definition of this investing term...

Definition: The most common form of stock.  It's a form of stock that represents ownership in a company and also gives the owner voting rights.

TeenAnalyst Advice: As a small investor, the type of stock that you'll most likely buy will be common stock.  The other type of stock is called "preferred stock" but it is far less common than common stock (hence the reason it's called "common stock).

Common stock is also nice because it gives the investor voting rights.  This means that you are allowed to express your opinions on issues involving the board of directors and so forth.

 

Related Sections on Our Website

Investing - Learn more about investing basics and strategies.

Stocks - Learn about investing in the stock market.

 

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