watered stock

noun

Shares of stock in a business that are inflated by parties colluding with the seller making inflated offers for the property that the stock represents, which are reported to potential sellers as indicative of the value of the stock.

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Meanings

nounwatered stock (countable and uncountable, plural watered stocks)

plural watered stocks

  1. countableuncountablelawShares of stock in a business that are inflated by parties colluding with the seller making inflated offers for the property that the stock represents, which are reported to potential sellers as indicative of the value of the stock.

Origin

Derived from the practice of "watering" livestock before sale, where the seller gives an animal a large quantity of water to drink before a potential buyer weighs the animal to determine its value.

Full word history & related roots →

Translations

Spanish acciones diluidas, capital inflado
  • acciones diluidasinflated shares of stock
  • capital infladoinflated shares of stock
Cite this entry
APA

watered stock. (n.d.). In WatkinsX Dictionary. Retrieved November 4, 2026, from https://dictionary.watkinsx.com/word/watered%20stock

MLA

“watered stock.” WatkinsX Dictionary, https://dictionary.watkinsx.com/word/watered%20stock. Accessed November 4, 2026.

Chicago

WatkinsX Dictionary, s.v. “watered stock,” accessed November 4, 2026, https://dictionary.watkinsx.com/word/watered%20stock.

Source: watered stock on Wiktionary, CC BY-SA 4.0.