shadow stock

The IRS characterized the plan as a classic phantom stock or shadow stock plan. Under the plan, the corporation would grant “units” to certain employees, officers, and directors.

In addition, the American Association of Individual Investors (AAII) scanned its list of "shadow stocks"—smallish companies with relatively low coverage by financial analysts—for those with price-earnings ratios of less than 20 and an annual growth rate in earnings per share during the past five years of more than 20%. From the shadow stocks meeting these criteria, we chose several other companies to profile.