stock option meaning and definition

STOCK OPTION noun

Definition of stock option (noun)

1. the right to buy or sell a stock at a specified price within a stated period
2. a benefit given by a company to an employee in the form of an option to buy stock in the company at a discount or at a fixed price
   • "stock options are not much use as an incentive if the price at which they can be exercised is out of reach"