Publicly Traded Company
A publicly traded company is a Corporation whose Shares are bought and sold on public Stock exchanges. These companies must adhere to strict regulatory requirements and disclose their financial information to the public. Publicly traded companies are owned by Shareholder/">Shareholders who can buy or sell their Shares in the open market. This allows for greater Capital raising opportunities but also subjects the company to market fluctuations and public scrutiny.
Examples of publicly traded companies include:
- Apple Inc. (AAPL)
- Microsoft Corporation (MSFT)
- Amazon.com Inc. (AMZN)
In notable cases, companies like Enron and Lehman Brothers demonstrated the risks associated with public trading, as their financial mismanagement led to Bankruptcy and significant losses for Shareholder/">Shareholders.