ADS (American Depositary Share)

A U.S.-traded share representing a fixed number of shares of a foreign company's stock (for Alibaba, one ADS = eight ordinary shares).

Definition

American Depositary Share – A U.S.-traded share representing a fixed number of shares of a foreign company's stock (for Alibaba, one ADS = eight ordinary shares), letting U.S. investors hold and trade a foreign stock through a U.S. exchange without dealing in the home-market shares directly. Found In: Market Data, Cover Page