Reviewed by Margaret James Fact checked by Yarilet Perez A stock-for-stock merger occurs when shares of one company are traded for another during an acquisition. Shareholders can trade the shares of ...

Preferred stock is a hybrid security that has features of both common stock and corporate bonds. Preferred stock is a unique type of equity that grants shareholders priority over common ...

d3sign / Getty Images Gifted stock refers to a stock that is given to someone as a gift. In other words, it’s the transfer of ownership of stock shares from one person or entity to another.

When someone talks about buying, selling, or owning stock in a company, they’re usually referring to common stock—one or more “shares” that represent fractional ownership of a business.

Section 1244 stock refers to a special tax treatment available for shares of stock issued by small, domestic corporations. Under Section 1244 of the Internal Revenue Code, losses from the sale of ...