Bid price
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- "Bid" redirects here. For the pharmacological term "b.i.d.", see the list of medical abbreviations.
A bid price is a price offered by a buyer/bidder when he buys a good. The bid price is usually just referred to as the "bid". The bid price stands in contrast to the ask price or "offer", and the difference between the two is called the bid/offer spread. An unsolicited bid or offer is when a person or company receives a bid even though they are not looking to sell. A bidding war is said to occur when a large number of bids are placed in rapid succession by two or more entities, especially when the price paid is much greater than the ask price, or greater than the first bid in the case of unsolicited bidding.
In the context of stock trading on a stock exchange, the bid price is the highest price a buyer of a stock is willing to pay for a share of that given stock. The bid price displayed in most quote services is the highest bid price in the market.
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