---
title: "Definition of Float"
url: https://signalscreener.fr/definition/free-float/
markdown_url: https://signalscreener.fr/definition/free-float.md
description: "Free Float is the number of shares available for public trading, excluding shares held by insiders, promoters, and locked-up shares."
type: glossary-definition
site: Signal Screener
language: en
keywords:
  - "Float"
  - "Free Float"
translations:
  es: https://signalscreener.fr/es/definition/free-float.md
  fr: https://signalscreener.fr/fr/definition/free-float.md
  zh: https://signalscreener.fr/zh/definition/free-float.md
---

# Free Float

## What is Float?

Free Float is the number of shares available for public trading, excluding shares held by insiders, promoters, and locked-up shares. It represents the shares that can actually be bought and sold in the market.

## Think of it like this

Imagine a parking lot with 1000 spaces (total shares). But 400 are reserved for employees and VIPs (restricted shares). Only 600 spaces are available to the public (free float). Low availability means it's harder to find parking!

## Formula

```
Free Float = Total Shares - Restricted Shares (insider holdings, locked shares)
```

- **Total Shares**: Shares outstanding
- **Restricted Shares**: Insider holdings, locked shares

## Why it matters

- Shows shares actually available for trading
- Low float means higher volatility potential
- Affects liquidity and price stability
- Important for institutional investors

## What's a good value?

| Range | Rating | What it means |
|---|---|---|
| < 20M | Low Float | High volatility potential, can gap easily |
| 20M-100M | Medium Float | Moderate liquidity |
| 100M-500M | Good Float | Good liquidity for most investors |
| > 500M | High Float | Excellent liquidity, institutional-friendly |

## Real-world example

GameStop 2021: ~50M float with massive buying pressure = squeeze. Apple: 15B+ float = very liquid, hard to manipulate. Small IPOs often have 10-30M float initially, then more unlocks after 6-12 months.

---

This is educational content, not financial advice.

Source: [Definition of Float](https://signalscreener.fr/definition/free-float/) on Signal Screener. Free to quote and cite with attribution and a link to that URL, which is the canonical one.

All definitions in this language as Markdown: https://signalscreener.fr/definition/llms.txt
Human index: https://signalscreener.fr/definition/
Site overview for agents: https://signalscreener.fr/llms.txt