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Business Definition for: stock certificate

stock certificate

document showing stockholder's ownership in the company. The certificate shows the number of shares, par value, class of stock (e.g., common stock), and voting rights. When endorsed, stock certificates are negotiable.

stock certificate

documentation of a shareholder's ownership in a corporation. Stock certificates are engraved intricately on heavy paper to deter forgery. They indicate the number of shares owned by an individual, their par value (if any), the class of stock (for example, common or preferred), and attendant voting rights. To prevent theft, shareholders often store certificates in safe deposit boxes or take advantage of a broker's safekeeping service. Stock certificates become negotiable when endorsed.

stock certificate

written instrument evidencing a share in the ownership of a corporation.

Copyright © 2005, 2000, 1995, 1987 by Barron's Educational Series, Inc., Reprinted by arrangement with Publisher.
Copyright © 2006, 2003, 1998, 1995, 1991, 1987, 1985 by Barron's Educational Series, Inc. Reprinted by arrangement with Publisher.
Copyright © 2007, 2000, 1997, 1987, by Barron's Educational Series, Inc. Reprinted by arrangement with Publisher.