shadow stock

Noun

shadow stock (countable and uncountable, plural shadow stocks)

1. Virtual stock having a calculated value, without real-world fluctuations, used to motivate and compensate employees.
   • The IRS characterized the plan as a classic phantom stock or shadow stock plan. Under the plan, the corporation would grant “units” to certain employees, officers, and directors.2008, Sydney S. Traum, The S Corporation Answer Book

   Synonyms:

   phantom stock, unit stock

2. Stock from smaller companies that is not highly tracked by financial analysts or professional investors.
   • In addition, the American Association of Individual Investors (AAII) scanned its list of "shadow stocks"—smallish companies with relatively low coverage by financial analysts—for those with price-earnings ratios of less than 20 and an annual growth rate in earnings per share during the past five...1991 June, Kiplinger's Personal Finance, volume 45, number 6, page 51
   • Table 1.8 shows a data set containing information for 25 of the shadow stocks tracked by the American Association of Individual Investors. Shadow stocks are common stocks of smaller companies that are not closely followed by Wall Street analysts.2017, David R. Anderson, Modern Business Statistics with Microsoft Office Excel, page 33