Active Stocks

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DEFINITION of 'Active Stocks'

Listed shares on an exchange that are heavily traded. Active stocks are actively bought and sold, and often have a large number of shares outstanding. Because they are heavily traded, active stocks often have low bid-ask spreads as a result of their increased liquidity.

INVESTOPEDIA EXPLAINS 'Active Stocks'

The most active stocks are listed each day with the volume and the day's gain or loss. They could be actively traded because they have a large number of shares outstanding, or because of a special situation such as there being a tender offer for the company or because of unexpected news.

RELATED TERMS
  1. Exchange

    A marketplace in which securities, commodities, derivatives and ...
  2. Stock

    A type of security that signifies ownership in a corporation ...
  3. Trade

    A basic economic concept that involves multiple parties participating ...
  4. Liquidity

    1. The degree to which an asset or security can be bought or ...
  5. Bid-Ask Spread

    The amount by which the ask price exceeds the bid. This is essentially ...
  6. Dividend

    A distribution of a portion of a company's earnings, decided ...
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