stock option

noun

1
: an option contract involving stock
2
: a right granted by a corporation to officers or employees as a form of compensation that allows purchase of corporate stock at a fixed price usually within a specified period

Examples of stock option in a Sentence

Recent Examples on the Web Few financial endeavors are more complex than coming up with a strategy for stock options, restricted stock, restricted stock units (RSUs), employee stock purchase plans (ESPPs), and the related holdings of company shares. Bruce Brumberg, Forbes, 4 Sep. 2024 Four-star admiral is accused of trading Navy contracts for job and stock options. Maham Javaid, Washington Post, 24 July 2024 Russell, the Ohio woman who works at the CDC, said her pay is at the mercy of the federal budget – and doesn’t include the bonuses or stock options that people working in other industries rely on. Matt Egan, CNN, 23 July 2024 Critics say that would affect startup founders, whose company valuations fluctuate and whose compensation is based on stock options. Wendy Lee, Los Angeles Times, 18 July 2024 See all Example Sentences for stock option 

These examples are programmatically compiled from various online sources to illustrate current usage of the word 'stock option.' Any opinions expressed in the examples do not represent those of Merriam-Webster or its editors. Send us feedback about these examples.

Word History

First Known Use

1877, in the meaning defined at sense 1

Time Traveler
The first known use of stock option was in 1877

Dictionary Entries Near stock option

Cite this Entry

“Stock option.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/stock%20option. Accessed 20 Sep. 2024.

Legal Definition

stock option

see option sense 3

More from Merriam-Webster on stock option

Last Updated: - Updated example sentences
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