stock option

noun

1. an option giving the holder, usually an officer or employee, the right to buy stock of the issuing corporation at a specific price within a stated period.

Word History and Origins

Origin of stock option¹

First recorded in 1940–45

Example Sentences

In 2018, Musk agreed to forgo a cash salary for his work at Tesla and instead receive stock options based on his ability to meet company milestones.

From Los Angeles Times

The industry supports high-paying positions and generates substantial tax revenue through stock options and capital gains when employees sell their shares.

From Los Angeles Times

As it turns out, Amazon, unlike other big companies, chose not to count the stock options vested for Jassy last year — worth about $21.75 million — as part of his compensation.

From Los Angeles Times

One former employee disliked Yusuf's approach to business so intently he said he didn't exercise his stock options and had no regrets about doing so, despite missing out on a potentially six-figure profit.

From BBC

He said in addition to the signing bonuses, Meta was offering more than that in "compensation per year", though did not spell out whether that was in wages or stock options and other incentives.

From BBC