Why are stock options important?

Answer "Stock options" represent the opportunity to buy shares of a company's stock at a specified price at a certain point in the future. The higher the share price when the purchase window opens, the mo... Read More »

Top Q&A For: Why are stock options important

Why Is the Expense Treatment of Stock Options So Important?

Corporations offer employee stock options as compensation. Stock options allow employees to purchase shares of stock at set prices, until the agreements expire after predetermined time periods. Sto... Read More »

Do Stock Options Granted to Employees Differ From Equity Options?

Stock options are contracts allowing the holder the right, but not the obligation, to purchase or to sell a specified amount of a company's stock at a specified price during a specified period of t... Read More »

Do stock options granted to employees differ from equity options?

According to the Chicago Board Options Exchange, equity options typically represent the right to buy 100 shares of stock. Stock options for employees are similar, except that the number of stocks t... Read More »

Stock Grants Vs. Stock Options in Negotiating IPOs?

Private companies often use stock or option grants to lure the best talent to the firm, especially when an initial public offering (IPO) is under consideration. The advantage of either of these is ... Read More »