Ordinary Shares (Common Stock)

Ordinary shares or common stock refers to the shares that make up the total market capitalisation of the company. Each ordinary share has a price called share price or stock price. When one multiplies the price per share to the total number of shares outstanding, one arrives at the market capitalisation of the company.

Voting rights

The shares typically have equal voting rights. Voting rights are accorded in proportion to the ownership of the company.

Read : Minority Interest

Preference Shares