โ Glossary ยท Financial ratios
Market capitalisation
A company's stock-market value: share price times number of shares.
Market capitalisation is what the stock market thinks a whole company is worth. It is the current share price times the number of shares in issue.
It helps put size in context: companies above about 10 billion are called large caps, smaller ones mid or small caps. Large companies often swing less and trade more; small ones can move more and faster, in both directions.
