217k views
3 votes
What is treasury stock?

User Anroesti
by
8.8k points

1 Answer

4 votes

Answer:

Treasury stock, also known as treasury shares or reacquired stock, refers to previously outstanding stock that has been bought back from stockholders by the issuing company.

The result is that the total number of outstanding shares on the open market decreases. Treasury stock remains issued but is not included in the distribution of dividends or the calculation of earnings per share (EPS).

User JayM
by
8.2k points