what happens when you own stock on a company that will close? do you get any money back?

Answer 1

It depends. Take a stock like Dillards (DDS) for instance. Bond holders and owners of preferred shares would be first ‘in line’ if they discontinued operations, after outstanding debts were paid. Common stockholders might still benefit because the book value of the stock is considerably higher than its share price. With this company and because it owns so much real estate, you might actually book a substantial profit if the store closed its doors. So, what’s the book value of your stock? Is it higher than the current share price? If not, then you can’t expect very much.
Acermill's post was brief, but it would be accurate 99% of the time.

Answer 2

Dwag fan is correct except the top of the order is Taxes, then bond holder, then preferred stock by the time you get there probably nothing left for common stock holders.

Answer 3

If by close, you mean bankrupt, you'll probably get nothing. If its been taken over by another company, thats a different story.

Answer 4

It depends on what you mean by close. If they just decide to liquidate for some reason, and there is money leftover after liquidating all the assets and paying off creditors, then shareholders would get something. If they close because of bankruptcy its possible, but doubtful, that shareholders would get something. Common shareholders are last in line to get paid off in bankruptcy. Often there is no equity left and they get nothing.

Answer 5

Not a penny. Your investment is lost if the company ceases business due to bankruptcy.