Plain-English definitions, reviewed by an independent investor
Float
Float is the number of shares actually available to trade, excluding those locked up by insiders or the government.
Float is the number of shares actually available to trade, excluding those locked up by insiders or the government.
Float = Shares Outstanding − Restricted Shares
Why it matters
It tells you how tradeable a stock really is, beyond its total count.
Common confusion
A tiny float can swing hard on small orders, raising both opportunity and risk.
Frequently Asked Questions
Low float danger?
Few sellers means sharp spikes and drops on modest demand.
Float vs shares outstanding?
Outstanding includes locked shares; float is the tradeable slice.