market capitalization

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Market capitalization

The total dollar value of all outstanding shares. Computed as shares times current market price. Capitalization is a measure of corporate size.

Market Capitalization

The total value of all outstanding shares of a publicly-traded company. The market capitalization is calculated by multiplying the shares outstanding by the price per share. Market capitalization is one of the basic measures of a publicly-traded company; it is a way of determining the rough value of a company. Generally speaking, a higher market capitalization indicates a more valuable company. Many exchanges and indices are weighted for market capitalization. It is informally known as market cap. See also: Large cap, Mid cap, Small cap.

market capitalization

The total value of all of a firm's outstanding shares, calculated by multiplying the market price per share times the total number of shares outstanding. For example, at a current price of $50 for each of its 20 million shares of outstanding stock, a firm has a market capitalization of $50 × 20 million, or $1 billion. Also called market value.

Market capitalization.

Market capitalization is a measure of the value of a company, calculated by multiplying the number of either the outstanding shares or the floating shares by the current price per share.

For example, a company with 100 million shares of floating stock that has a current market value of $25 a share would have a market capitalization of $2.5 billion.

Outstanding shares include all the stock held by shareholders, while floating shares are those outstanding shares that actually are available to trade.

Market capitalization, or cap, is one of the criteria investors use to choose a varied portfolio of stocks, which are often categorized as small-, mid-, and large-cap. Generally, large-cap stocks are considered the least volatile, and small caps the most volatile.

The term market capitalization is sometimes used interchangeably with market value, in explaining, for example, how a particular index is weighted or where a company stands in relation to other companies.

market capitalization

the total value of a company's ISSUED SHARE CAPITAL as determined by its current share price on the STOCK MARKET.
References in periodicals archive ?
The GIH report said Saudi TASI remained the highest contributor with its market capitalisation standing at $410.6 billion.
The top five components, by free-float market capitalisation, to be added to the index are Apple Inc., Norfolk Southern Corp., Pioneer Natural Resources Co., Franco-Nevada Corp.
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The share price moved from [euro]4.8 to [euro]5.8 in the period, a 20% increase and its market capitalisation is now [euro]32m.
As of August 17, 2009, the top five components of the Dow Jones GCC Index by float-adjusted market capitalisation are Saudi Basic Industries Corp., Al Rajhi Bank, Mobile Telecommunications Co., National Bank of Kuwait and Kuwait Finance House.
The potential bid confirmation by API sent the shares skywards and they finished the period at 170p (market capitalisation [pounds sterling]58m), a rise of 44%.
Total free-float market capitalisation of the reconstituted Dow Jones Arabia Titans 50 Index increased to $166.85 billion from $157.77 billion as of June 1, 2009.
These too were good and the improved performance and bright outlook were enough reason for the shares to respond positively, gaining 19 pence in the period (+6%) to give the company a market capitalisation of [pounds sterling]649m.
Hologram Industries shares also enjoyed a good period of growth in some robust trading, most likely due to new orders and its share price increased by 13% to [euro]3.4 and its market capitalisation to [euro]19m.
Neither statement took the market by surprise and the share price rose less than 3% on the day, finishing the period at [pounds sterling]3.25 with a market capitalisation of [pounds sterling]595m, a fall of 2.5%.