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stock option
(redirected from Stock options)

   Also found in: Dictionary/thesaurus, Financial, Encyclopedia, Wikipedia 0.01 sec.

stock option n. the right to purchase stock in the future at a price set at the time the option is granted (by sale or as compensation by the corporation). To actually obtain the shares of stock the owner of the option must "exercise" the option by paying the agreed upon price and requesting issuance of the shares. (See: stock, share, option)



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French cosmetics giant L'Oreal said Thursday its chief executive, Jean-Paul Agon, had given up his stock options for 2009.
When trading stock options you can bet that the price of a stock will go higher or lower in the future.
[ILLUSTRATION OMITTED] Such incentives, whether in the form of stock options or a profits interest, are attractive for deserving employees but can be quite complicated to implement, especially for large or publicly traded companies.
 
 
 
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