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
Examples are automatically compiled from online sources to show current usage. Read More Opinions expressed in the examples do not represent those of Merriam-Webster or its editors. Send us feedback.
Offer meaningful equity—Whether through stock options, profit-sharing or alternative incentives, companies must design real paths for stakeholders to participate in success, not just work for it. Cheryl Robinson, Forbes.com, 29 Apr. 2025 Catch up quick: The company's early adoption of stock options for employees led to the minting of four billionaires and as many as 12,000 Microsoft millionaires. Christine Clarridge, Axios, 3 Apr. 2025 Under Canadian law, public-office holders need to divest their assets, such as stock options, either by selling them or having a trustee manage or sell them without, in this case, consulting Carney. Christopher Guly, Fox News, 15 Mar. 2025 Tan will receive a package of stock options worth $9.6 million, as well as a new hire option grant worth $25 million. Kif Leswing, CNBC, 14 Mar. 2025 See All Example Sentences for stock option

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

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Cite this Entry

“Stock option.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/stock%20option. Accessed 3 May. 2025.

Legal Definition

stock option

see option sense 3

More from Merriam-Webster on stock option

Last Updated: - Updated example sentences
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