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  2. 3 must-knows about employee stock options - AOL

    www.aol.com/3-must-knows-employee-stock...

    If the stock were trading at $20 per share when Sharon wanted to exercise her options toward the end of 2023, the options would be “in the money,” meaning that the strike price is below the ...

  3. Employee stock option - Wikipedia

    en.wikipedia.org/wiki/Employee_stock_option

    Employee stock options (ESO or ESOPs) is a label that refers to compensation contracts between an employer and an employee that carries some characteristics of financial options. Employee stock options are commonly viewed as an internal agreement providing the possibility to participate in the share capital of a company, granted by the company ...

  4. Options terms every investor should know - AOL

    www.aol.com/finance/options-terms-every-investor...

    Options trading can be very profitable, but the terminology can be confusing. ... For example, a call option on a stock would be out-of-the-money if the stock price is below the strike price.

  5. Moneyness - Wikipedia

    en.wikipedia.org/wiki/Moneyness

    While moneyness is a function of both spot and strike, usually one of these is fixed, and the other varies. Given a specific option, the strike is fixed, and different spots yield the moneyness of that option at different market prices; this is useful in option pricing and understanding the Black–Scholes formula.

  6. Cash return on capital invested - Wikipedia

    en.wikipedia.org/.../Cash_return_on_capital_invested

    This measure compares a post-tax, pre-interest cash flow to the gross level of capital invested and is a useful measure of a company’s ability to generate cash returns on its investments. In principle, this ratio is similar to the ROE ratio, but CROCI is calculated on a cash basis and on an EV -basis, taking into account assets funded by all ...

  7. Stock Dividends vs. Cash Dividends - AOL

    www.aol.com/finance/stock-dividends-vs-cash...

    Like cash dividends, stock dividends tend to affect a company’s stock price. While the overall value of the company remains the same, stock dividends increase the number of shares that exist ...

  8. Employee stock ownership plans in the United States

    en.wikipedia.org/wiki/Employee_stock_ownership...

    Employee stock purchase plans (ESPPs) are a program run by companies for their employees, enabling them to purchase company shares at a discounted price. These schemes may or may not qualify as tax efficient. In the U.S., stock options granted to employees are of two forms, that differ primarily in their tax treatment. They may be either:

  9. Expiration (options) - Wikipedia

    en.wikipedia.org/wiki/Expiration_(options)

    However, the holder or the holder's broker may request that the options are not exercised automatically. Out of the money options are not exercised automatically. Upon expiration any margin charged held by the clearing firm of the holder or writer of the option is released back to the free balance of the trader's account.

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