Primary navigation:

QFINANCE Quick Links
QFINANCE Topics
QFINANCE Reference
Add the QFINANCE search widget to your website

Home > QFINANCE Dictionary > Definition of market capitalization

Definition of

market capitalization

Markets

full market value of firm the total market value of a company, calculated by multiplying the price of its shares on the stock exchange by the number of shares outstanding.

Related definitions of "market capitalization"

Recommended Further Reading (Term count)
  • Estimating Enterprise Value with the Weighted Average Cost of Capital
    This checklist describes how enterprise value is calculated and how the weighted average cost of capital influences the calculation.
  • Market/Book Ratio
    Market/book ratio, sometimes called price-to-book ratio, is a way of measuring the relative value of a company compared to its stock price or market value.
  • Pension Schemes: A Unique and Unintended Basket of Risks on the Balance Sheet
    by Amarendra Swarup
    The only function of economic forecasting, the late American economist J. K. Galbraith once noted, was to make astrology look respectable. And, knowingly or not, it’s a belief that’s endemic in the corporate world.The overriding concern is to find the hidden value in companies—whether in their balance sheet or in their intellectual property—and extract it in the most efficient way possible. Every financial and operational risk is carefully...
  • The Role of Commodities in an Institutional Portfolio
    by Keith Black, Satya Kumar
    The case for commodities is based largely on their historical tendency to offer returns that exhibit a low correlation with those of stock and bond market indices. Although commodities may be volatile, their low correlation with traditional investments can result in a significant diversification benefit. Table 1 shows the correlation between two commodity indices—the Standard & Poor’s GSCI (S&P GSCI) and the Dow Jones–AIG Commodity Index...

Definitions of ’market capitalization’ and meaning of ’market capitalization’ are from the book publication, QFINANCE – The Ultimate Resource, © 2009 Bloomsbury Information Ltd. Find definitions for ’market capitalization’ and other financial terms with our online QFINANCE Financial Dictionary.

Back to top

Related

Most Viewed

Recommended

Latest

 
QFINANCE www.qfinance.com