Outstanding stock is the authorized stock that the company has sold (issued) to and that shareholders currently hold. Commonly, the owners of outstanding stock receive dividend payments and have voting rights in shareholders’ meetings. The company issues stock certificates to the owners of outstanding stock.
The balance sheet of the company’s financial statements outlines the total number of outstanding stocks. Furthermore, the statement of change in equity records any fluctuations in ownership of outstanding stock throughout a specific accounting period.
See also: unissued stock, treasury stock.
[Last updated in August of 2021 by the Wex Definitions Team]