Outstanding Share
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Definition of Outstanding Share
Outstanding share refers to a share of stock issued by a company that is currently held by shareholders. It represents ownership in the company and signifies the portion of the company's equity that is publicly traded and owned by investors.
Outstanding shares include shares held by individual and institutional investors, excluding shares that are held by the company itself, also known as treasury shares.
The total number of outstanding shares is a key factor in calculating various financial metrics, such as earnings per share (EPS) and market capitalization, and it influences the voting power and ownership rights of shareholders.
What is Outstanding Share?
Outstanding share is a unit of ownership in a company that has been issued to investors and is actively traded in the public market. These shares represent ownership in the company's assets, earnings, and decision-making processes.
The total number of outstanding shares provides insights into the company's size, the distribution of ownership among shareholders, and its overall market value.
Changes in the number of outstanding shares, such as stock buybacks or issuance of new shares, can impact the company's financial performance, stock price, and investors' stakes in the business.