Preferred Stock defined: Preferred stock is a specific class of stock that has a higher claim on assets and earnings than common stock. Preferred shares, depending on the issuing company, have characteristics akin to both debt and equity, having both potential appreciation and fixed payments. Dividends on preferred stock are paid before the dividends on common stock.
Above is a definition for “Preferred Stock” from PrivCo’s Private Company Knowledge Bank, the definitive online and e-book guide to private companies and private company deals.
Augment your research. Uncover opportunities. Close deals.