| Stock is a security issued in the form of shares that represent interests of owners in a company. It is a type of security that signifies ownership in a corporation and represents a claim on part of the corporation's possessions and earnings.
A holder of share/stock of a company (a shareholder) has a claim to a part of the corporation's/company’s assets and earnings. In other words, a shareholder is an owner of a company/firm. Ownership right of an investor/share holder is determined by the number of shares a person owns relative to the number of outstanding shares. For example, if a company has 1,000 shares of stock outstanding and one person owns 100 shares, that person would own and have claim to 10% of the firm's assets.
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