Differentiate between share outstanding and float.
The major differences between share outstanding and float are as follows −
Share Outstanding
These are shares held by stakeholders, company officials and investors in public domain.
Contains both stock float and restricted shares.
Contains all shares of company held by its investors.
It is used to calculate market capitalisation and earnings per share (EPS).
It provides voting right and ownership right.
Private or public limited company will issue these kinds.
It has low risk.
Float
It is share issued by company to public and available to investors for trading in stock market.
Contains only float stock.
It is available for public.
It acts as determinant of financial calculations.
Won’t provide voting right and ownership right.
Issued by public companies (listed in stock exchange).
It has high risk.
Published on 27-Jul-2020 11:50:23
