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preferred stock

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noun
stock that has a superior claim to that of common stock with respect to dividends and often to assets in the event of liquidation.
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Origin of preferred stock

An Americanism dating back to 1840–50
Dictionary.com Unabridged Based on the Random House Unabridged Dictionary, © Random House, Inc. 2022

How to use preferred stock in a sentence

British Dictionary definitions for preferred stock

preferred stock

noun
US and Canadian shares representing part of the capital issued by a company and entitling their holders to priority with respect to both net profit and net assets. Preferred stock usually carries a definite rate of dividend that is generally lower than that declared on common stockAlso called (in eg Britain, Australia): preference shares
Collins English Dictionary - Complete & Unabridged 2012 Digital Edition © William Collins Sons & Co. Ltd. 1979, 1986 © HarperCollins Publishers 1998, 2000, 2003, 2005, 2006, 2007, 2009, 2012
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