Glossary / Common Stock
Common Stock
Common stock refers to shares of ownership in a company that give the holder voting rights and the potential to receive dividends. Common stockholders are considered the residual owners of a company, meaning they have the lowest priority in receiving assets in the event of liquidation. They also have the potential for the highest returns if the company performs well. Common stockholders may attend annual general meetings and vote on important company decisions, such as the election of the board of directors.
