What is b stock?

B stock refers to a classification of common stock that is issued by a company and is considered to have lower trading volume and liquidity compared to A stock. B stock typically has fewer voting rights and may also have limitations on dividend payments.

B stock is often issued as part of a dual-class share structure, where one class of shares (usually A stock) has more voting rights and control over the company, while the other class of shares (B stock) has fewer voting rights and is typically held by the company's founders and insiders.

Investors should be aware of the differences between A and B stock when considering investing in a company with a dual-class share structure, as the voting rights and control over the company may be concentrated in the hands of a select group of shareholders.

Overall, B stock may be seen as a riskier investment compared to A stock due to its lower liquidity and voting rights, but it can also offer potential advantages such as lower valuation and the possibility of higher returns if the company performs well.