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preferred stock
noun
: stock guaranteed priority by a corporation's charter over common stock in the payment of dividends and usually in the distribution of assets
Examples of preferred stock in a Sentence
Recent Examples on the Web
During the nine months ended September 30, 2024, the company issued promissory notes totaling $1.4 million and sold preferred stock for gross proceeds of $1.35 million.
—Quartz Bot, Quartz, 17 Jan. 2025
In its 2025 Outlook report published earlier this week, Barclays called out Richemont as a preferred stock.
—Samantha Conti, WWD, 16 Jan. 2025
The plan is already in motion, with the company completing a $2.1 billion raise in Q3 2024 and announcing a $2 billion preferred stock offering in January 2025.
—Roomy Khan, Forbes, 16 Jan. 2025
Despite a sell-off in December, preferred stock saw favorable returns last year.
—Michelle Fox, CNBC, 8 Jan. 2025
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Word History
First Known Use
circa 1859, in the meaning defined above
Time Traveler
The first known use of preferred stock was
circa 1859
Dictionary Entries Near preferred stock
Cite this Entry
“Preferred stock.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/preferred%20stock. Accessed 26 Jan. 2025.
Legal Definition
preferred stock
see stock
More from Merriam-Webster on preferred stock
Britannica.com: Encyclopedia article about preferred stock
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