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What Are Common Stocks?

Most stocks you hear about are common stocks -- here's what they are.

By Matthew Frankel, CFP – Updated Oct 25, 2024 at 9:13PM

Key Points

  • Common stock represents ownership in a company, offering potential dividends and value increases.
  • Investors in common stock can vote on corporate matters but may hold non-voting shares in some cases.
  • In bankruptcy, common stockholders are last to claim assets, often losing their investment.
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