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stock option

American  

noun

  1. an option giving the holder, usually an officer or employee, the right to buy stock of the issuing corporation at a specific price within a stated period.


Etymology

Origin of stock option

First recorded in 1940–45

Example Sentences

Examples are provided to illustrate real-world usage of words in context. Any opinions expressed do not reflect the views of Dictionary.com.

Meta Platforms launched a new stock option program for top executives, requiring a $9 trillion market capitalization by 2031 for full value.

From The Wall Street Journal • Mar. 25, 2026

On Tuesday evening, Meta introduced a new stock option program for senior executives to motivate them to grow the company at an extremely aggressive pace and reach a $9 trillion-plus valuation.

From The Wall Street Journal • Mar. 25, 2026

Tesla shareholders approved a stock option package for Elon Musk, potentially worth $1 trillion if performance incentives are met over 10 years.

From Barron's • Nov. 7, 2025

Losses, adjusted for stock option expense and amortization costs, came to 29 cents per share.

From Seattle Times • Nov. 6, 2023

Should we sell the rising stock option and risk losing out on its further ascent, or hold on to it and risk its decline and the loss of our premium?

From "Innumeracy: Mathematical Illiteracy and Its Consequences" by John Allen Paulos

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