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ordinary shares

ordinary shares

5.2
A form of stock giving part of profits and voting rights but no priority for dividends or assets
  • noun
  • /ˈɔrdəˌnɛri ʃɛrz/
  • UK
translation icon : acciones ordinarias
  • Investors in ordinary shares participate in the company’s profits and can vote at shareholder meetings.
  • ordinary shares capital
  • ordinary shares to ADRs

Examples

  • As of the time of his order appointing class counsel, there were seven class actions proposing classes of "purchasers of American Depository Receipts ('ADRs') and ordinary shares of BP during various time periods between 2005 and 2010." 230

    Academic text (2017)
  • Mr. Forrest bought 12.8 million ordinary shares in Fortescue at a value of $62 million.

    Blog text (33)
  • About three-quarters of International Monetary Fund (IMF) member countries use the 10 percent rule to define foreign direct investment in data collection—that is, 10 percent or more of the ordinary shares, voting power, or the equivalent establishes a direct investment relationship.

    Academic text (2008)
  • When the company declared dividends, all ordinary shares received equal treatment without preference.

  • Many companies offer ordinary shares to their employees as part of their compensation packages.

Synonyms

stock
vsordinary shares
3.5

A part of a company that people buy and sell

is the specific class giving profits and voting but no preferential rights
share
vsordinary shares
  • Specialized
416 3.7

One equal part of a company that you can buy

is used for individual units rather than naming the no-preference class
common stock
vsordinary shares
  • US
8 4.0

Shares that give part ownership of a company and usually voting rights

is the form lacking preferential dividend and asset priority
common shares
vsordinary shares
  • Canadian
3 3.8

A part of a company you can buy that gives part of the profit and the right to vote

is the form without preferential dividend or asset rights

How Privileged

founders' share
  • Specialized
8.4
preferred shares
  • Specialized
1 5.1
ordinary shares
  • UK
5.2

Surface Forms

Morphology

ordinary + share

This is a regular compositional noun phrase: 'ordinary' (usual, standard) modifies 'shares' (units of company ownership), so a learner who knows both words can infer it refers to the common/standard type of company stock. While legal specifics about voting rights or lack of preferential dividends are technical, the core meaning 'the usual/common kind of shares' is directly derivable and mirrors equivalents in many languages, making it transparent.

Etymology

Ordinary shares comes from calling the regular type of company shares 'ordinary' because they are the normal, common kind rather than the special shares that get extra payments. That's why ordinary shares are the basic shares that give you part of the profits and the right 'to vote', but not the extra rights of the special shares.