growth stock
Word Rarity
Uncommon
Frequency: 4.68 in modern English
24
Scrabble Score
11
Letters
3
Syllables
9
Unique Chars
Meaning
noun
A corporate equity investment instrument which usually does not pay substantial dividends but which increases in value as the company grows, reinvesting its profits, and which typically appeals to investors who have a long-term perspective.
Example Sentences
- "Those lucky investors who years ago put $20,000 into International Business Machines, or a similar growth stock, and have seen it soar to $500,000 today, do have some problems."
- "Two years later, when Brown took Stryker public, bankers told him it would need at least 20% annual earnings gains to be considered a growth stock."
- "What's the perfect small-cap growth stock? One with good growth prospects, fat margins, limited competition, and outstanding management."