A stock dividend is a payment of shares to current shareholders in which the payment is less than 50% of the current shares held.

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A stock dividend is a payment made in the form of additional shares rather than cash, but there is no specific percentage requirement for it to be less than 50% of the current shares held. The percentage of a stock dividend can vary and is determined by the company's board of directors.

A Stock Dividend Is a Payment of Shares to Current