Market Capitalization

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Market Cap

Beginner Level Global Financial Markets 2 views

Definition

The total market value of a company's outstanding shares of stock, calculated by multiplying share price by total shares.

Detailed Explanation

Companies are classified as large-cap (over $10B), mid-cap ($2-10B), or small-cap (under $2B). Market cap helps investors understand company size and compare investment opportunities.

Example

If a company has 100 million shares at ₹500 each, its market cap is ₹50,000 crore.

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