Are equity and stock the same?

Stocks and equity are same, as both represent the ownership in an entity (company) and are traded on the stock exchanges. Equity by definition means ownership of assets after the debt is paid off. Stock generally refers to traded equity.

Stock is the type of equity that represents equity investment. When you buy a stock, you expect returns in the form of dividend. Equity can also mean stocks or shares.

In stock market parlance, equity and stocks are often used interchangeably.