stock option

noun

1
: an option contract involving stock
2
: a right granted by a corporation to officers or employees as a form of compensation that allows purchase of corporate stock at a fixed price usually within a specified period

Examples of stock option in a Sentence

Recent Examples on the Web
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Shop the piece in five neutral shades, including a few back-in-stock options. Rachel Trujillo, PEOPLE, 18 Aug. 2026 Under the separation agreement, Kubasik will not receive any bonus under the company’s 2026 incentive plan but will keep nearly 384,000 stock options. Dan Mangan, CNBC, 17 Aug. 2026 Employees holding incentive stock options face a similar opportunity. Anastasia Atamanchuk, Fortune, 5 Aug. 2026 That is Turner's contractual claim rather than his title, which is also broadly how UK investors got stock options and how most of the alternative assets sold to wealthy buyers are wrapped. Boaz Sobrado, Forbes.com, 2 Aug. 2026 See All Example Sentences for stock option

Word History

First Known Use

1877, in the meaning defined at sense 1

Time Traveler
The first known use of stock option was in 1877

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Cite this Entry

“Stock option.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/stock%20option. Accessed 25 Aug. 2026.

Legal Definition

stock option

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