Share
A single unit of ownership in a company, giving its holder a proportional claim on the company's profits and on whatever is left over if the company is wound up.
Formula
Ownership fraction = Shares Held / Total Shares Outstanding
Unit
shares
In depth
A share is a claim on residual profit, not a claim on any particular asset — owning shares in a cement company does not entitle you to a sack of cement. In everyday use 'share' and 'stock' are treated as the same thing, and in Indian usage they largely are; strictly, a share is one unit while stock is the aggregate holding. The size of your claim depends entirely on the fraction of total shares you hold, which is why share count matters as much as share price. If the company issues more shares without you buying any, your fraction falls even though your share count has not changed.
Worked example
A company has 10,00,000 shares outstanding and you hold 5,000 of them. Your stake is 5,000 / 10,00,000 = 0.5%. If the board distributes a total dividend pot of ₹40,00,000, your entitlement is 0.5% of that, or ₹20,000. Your claim scales with the fraction, never with the price you paid.
Illustrative figures, chosen so the arithmetic is easy to follow. Not a live price and not a valuation of any company.
Educational reference only
This entry explains what “Share” means. It is not investment advice and not a recommendation to buy or sell any security. Any numbers above are illustrative, not live prices, and nothing here predicts price direction or rates a stock. Consider your own circumstances and consult a SEBI-registered investment adviser before acting.