What does Float (Shares Outstanding) mean?

A stock's float is the number of shares actually available for public trading, excluding shares held by insiders or locked up long-term.

Float is the portion of a company's total shares that's actually free to trade on the open market — it excludes shares held by insiders, founders, or governments that rarely change hands. A 'low-float' stock has relatively few tradable shares, which can make its price swing much harder on the same amount of buying or selling.

Float (Shares Outstanding) example

A company has 200 million shares outstanding, but insiders and long-term holders own 150 million and rarely trade. The float — shares actually available to trade — is about 50 million.

Common beginner mistake

Ignoring a small float. With few shares available, modest buying or selling can move the price sharply in either direction.