Bid is the highest displayed price a buyer is willing to pay, ask (or offer) is the lowest displayed price a seller is willing to accept, and last is the price of the most recent completed trade. Bid and ask are current quotes; last records a transaction that has already happened. None of these fields alone guarantees the price or completion of your next order.
What bid, ask, and last price mean
| Field | What it represents | What to keep in mind |
|---|---|---|
| Bid | The highest price a buyer is willing to pay for a specified quantity at a given time. | A quote showing willingness to buy, not a completed sale. |
| Ask / offer | The lowest price at which a seller is willing to sell. | A quote showing willingness to sell, not a completed purchase. |
| Last | The unit price of the most recent trade. | A record of a completed transaction; it may be older than the current bid and ask. |
| Spread | The ask price minus the bid price. | The gap between the quoted selling and buying prices. |
Investor.gov explains the bid and ask as the prices buyers and sellers are willing to accept, and the spread as the difference between them: Investor.gov’s overview of order types. In an ordinary quote, the ask is generally higher than the bid.
How to read the spread
For example, if a screen shows a bid of $10.00 and an ask of $10.05, the spread is $0.05: $10.05 minus $10.00. This is an arithmetic illustration, not current market data or a claim about typical spreads. A narrower spread means the displayed buying and selling prices are closer together; it does not by itself tell you whether an order will execute.
Why last price can differ from bid and ask
Last reflects a trade that has already taken place, while bid and ask reflect quotes at a particular time. Market prices and quotes can change, so the most recent trade may have occurred before the quotes now shown. Fidelity, for example, defines last trade as the unit price of the most recent trade and describes standard-session, extended-hours, and order-book contexts in its glossary: Fidelity’s trading glossary. Its display conventions are an example from one broker, not a universal rule for every brokerage or data feed.
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Why a quote does not guarantee your execution
A displayed bid or ask is not a promise that your order will be filled at that price. An order may be partially filled or not filled if a matching buyer or seller cannot be found on the order’s terms. FINRA notes that this is more likely with some order types, large orders, or less frequently traded securities: FINRA’s explanation of stock order types. Last price likewise is not a promise of what your next order will receive.
Independent reader supportYour contribution helps us test, update, and keep practical guides available for everyone.When quotes look unusual
A locked quote is one where bid equals ask; a crossed quote is one where bid exceeds ask. FINRA’s BBDS specification documents these terms in the OTCBB context: FINRA’s OTCBB data specifications. That reference describes a particular OTCBB data context; it should not be read as saying crossed quotes are ordinary or that the same conditions apply across every market.
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