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stock option

noun

  1. an option giving the holder, usually an officer or employee, the right to buy stock of the issuing corporation at a specific price within a stated period.


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yvlog History and Origins

Origin of stock option1

First recorded in 1940–45
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Example Sentences

Examples have not been reviewed.

Mostly to reduce corporate and income taxes, companies tend to keep the cash components of their executives’ pay as meager as possible, as opposed to stock and stock options.

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The pay package came in the form of stock options, according to The New York Times, and now may be worth over $100 billion since Tesla stock soared after President-elect Donald Trump’s victory in November.

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Critics say that would affect startup founders, whose company valuations fluctuate and whose compensation is based on stock options.

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Support for the pay award, made up of stock options, will come as a relief to Mr. Musk’s admirers, who feared that rejection would prompt him to spend less time managing Tesla or even quit.

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But its stock options, so it’s always going up and down.

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