Regular shares are considered income stocks when they provide the shareholder with a small but reliable stream of income – usually one to four times per year.  This income stream comes from a company’s surplus earnings during the year, in which sums of money are distributed to each shareholder in proportion to the amount of equity that they own. Generally speaking, companies that offer income stock are less volatile in pricing, and take more time to appreciate in value compared to growth stocks. Utility companies often offer income stock.