<p>Wanted to comment, but its too long with the links.</p>
<p>I think it's simply due to <a href="https://www.hdfcbank.com/content/bbp/repositories/723fb80a-2dde-42a3-9793-7ae1be57c87f/?path=/Footer/About%20Us/Other%20stakeholders%27%20Information/19102019-grant%20ESOP.pdf" rel="nofollow noreferrer">ESOPs</a>.</p>
<p>For the effect on shares outstanding, see for example <a href="https://knowledge.wharton.upenn.edu/article/how-employee-stock-options-can-influence-the-value-of-ordinary-shares/" rel="nofollow noreferrer">Knowledge at Wharton - A business journal from the Wharton School of the University of Pennsylvania</a>.</p>
<pre><code>If a company had one million shares outstanding and employees exercised options to purchase 200,000 shares, there would then be 1.2 million shares outstanding.
</code></pre>
<p>Since float is always a portion of shares outstanding, both numbers go up.</p>
<p>On a side note, I am not sure if this question is well suited for economics but I am not sure <a href="https://meta.stackexchange.com/questions/264169/where-is-the-community-to-ask-accounting-questions">Money SE</a> or <a href="https://quant.stackexchange.com/questions/tagged/accounting">Quant SE</a> would be much better suited either.</p>

CC BY-SA 4.0
2022-06-06T20:39:49.380Z
2022-06-06T20:39:49.380Z
AKdemy
<p>A stock named 'HDFC Bank' listed on NSE (India's stock exchange) has shown an increase in shares outstanding and floating stock outstanding YoY. How?
<a href="https://i.sstatic.net/xPylO.png" rel="nofollow noreferrer"><img src="https://i.sstatic.net/xPylO.png" alt="enter image description here" /></a></p>
<p>Credits: TradingView</p>

CC BY-SA 4.0
2022-06-05T09:06:40.820Z
Please clarify your specific problem or provide additional details to highlight exactly what you need. As it's currently written, it's hard to tell exactly what you're asking.
Giskard
CC BY-SA 4.0
2022-06-06T10:47:27.520Z
Both floating (4.03-4.27-4.34) and outstanding shares(5.13-5.45-5.51) are increasing. How is that fundamentally possible, since the company didn't issue any new shares.
Arpan
<stock-market>
How can both floating and outstanding shares of a company increase?
Arpan
# How can both floating and outstanding shares of a company increase?

(Asked by: username_0 on 2022-06-04)

A stock named 'HDFC Bank' listed on NSE (India's stock exchange) has shown an increase in shares outstanding and floating stock outstanding YoY. How?
[![enter image description here](https://i.sstatic.net/xPylO.png)](https://i.sstatic.net/xPylO.png)

Credits: TradingView

**Tags:** stock-market
> **Comments:**
> **username_1**: Please clarify your specific problem or provide additional details to highlight exactly what you need. As it's currently written, it's hard to tell exactly what you're asking.  
> **username_0**: Both floating (4.03-4.27-4.34) and outstanding shares(5.13-5.45-5.51) are increasing. How is that fundamentally possible, since the company didn't issue any new shares.  

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## 1 answers

### Answer by username_2 on 2022-06-06. Score: 2

Wanted to comment, but its too long with the links.
I think it's simply due to ESOPs.
For the effect on shares outstanding, see for example Knowledge at Wharton - A business journal from the Wharton School of the University of Pennsylvania.
If a company had one million shares outstanding and employees exercised options to purchase 200,000 shares, there would then be 1.2 million shares outstanding.

Since float is always a portion of shares outstanding, both numbers go up.
On a side note, I am not sure if this question is well suited for economics but I am not sure Money SE or Quant SE would be much better suited either.


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