Valuation
Market capitalisation
Also called: market capitalisation, market value, size
What the stock market says the whole company's shares are worth right now.
Formula
Market cap = Share price × Shares outstanding
Worked example
- Share price = $80.00
- Shares outstanding = 500.0m
- Market cap = $80.00 × 500.0m
Result: $40.0bn
How to read it
Large caps (over $10bn) tend to be steadier; small caps (under $2bn) can grow faster but swing more.
Worked example uses made-up figures for 'Example plc'
See it with real numbers: Any company page → (free account)