2. The stock is a part of the ownership of the joint-stock company, and it is also the ownership certificate issued by the joint-stock company. It is a kind of securities issued by a joint-stock company to all shareholders, as a shareholding certificate to obtain dividends and bonuses. Stocks are long-term credit instruments in the capital market and can be transferred and traded. With it, shareholders can share the company's profits, but also bear the risks brought by the company's business mistakes. Each share represents the shareholder's ownership of the basic unit of the enterprise. Every listed company will issue shares.
3. The ownership of the company represented by each share in the same category is equal. The share of ownership of the company owned by each shareholder depends on the proportion of shares held by each shareholder to the total share capital of the company.
4. Stock is an integral part of the capital of a joint-stock company, which can be transferred and traded. It is the main long-term credit tool in the capital market, but the company cannot be required to return its capital contribution.
common stock
Ordinary shareholders enjoy the following basic rights in proportion to their shares:
(1) Company's right to participate in decision-making. Ordinary shareholders have the right to participate, have the right to propose, vote and vote, or entrust others to exercise shareholder rights on their behalf.
(2) Profit distribution right. Ordinary shareholders have the right to receive dividends from the company's profit distribution. The dividend of common stock is not fixed, which is determined by the profitability of the company and its distribution policy. Ordinary shareholders must receive fixed dividends from preferred shareholders in order to enjoy dividend distribution rights.
(3) stock options. If the company needs to expand and issue more common shares, the existing common shareholders have the right to buy a certain number of newly issued shares at a certain price lower than the market price according to their shareholding ratio, so as to maintain their original enterprise ownership ratio.
(4) the right to distribute the remaining assets. When the company goes bankrupt or liquidates, if there is surplus company assets after paying off debts, the remaining shares shall be distributed in the order of preferred shareholders first and common shareholders later.