What's the percentage range for a low float

The percentage range for a low float stock is typically considered to be between 10% and 20% of the total shares outstanding. For example, a company with 50 million shares outstanding and a low float of 10 million shares would have a low float percentage of 20%. However, the exact percentage range for a low float stock can vary depending on the company and the industry.

1. **High Float vs. Low Float**:
- **High Float**: Companies with a large number of shares available for trading, such as Bank of America with a float of over 9 billion shares, are considered to have a high float.
- **Low Float**: A low float stock typically has a float between 10% to 20% of the total shares outstanding. For instance, a company with 50 million shares outstanding and a low float of 10 million shares would have a low float percentage of 20%.
2. **Factors Influencing Float**:
- **Restricted and Closely-Held Shares**: The float is calculated by subtracting restricted shares (typically held by insiders) and closely-held shares (owned by employees, major shareholders) from the total shares outstanding.
- **Share Buybacks**: Share buybacks can decrease the number of outstanding shares, which in turn increases the float as a percentage of outstanding shares.
3. **Implications of Low Float**:
- **Volatility and Liquidity**: Low float stocks are generally more volatile and have wider bid-ask spreads due to the smaller number of shares available for trading.
- **Institutional Investment**: Institutional investors often prefer high float stocks for easier trading and less impact on share prices with large purchases.

Understanding the percentage range for a low float stock can help investors assess the liquidity and potential volatility of a stock before making investment decisions.