Public float refers to the proportion of a company's total issued shares that are freely available for trading in the open market by the general public, excluding shares held by promoters, major institutional investors with lock-in obligations, and company insiders. A higher public float generally means greater liquidity and lower susceptibility to price manipulation. SEBI mandates a minimum public shareholding of 25% for listed companies in India, ensuring adequate float for retail investor participation. Stocks with low public float can experience sharp price movements on relatively small buy or sell orders, making them more volatile and harder to trade in large quantities.