Answered By: Michael Coffta Last Updated: Feb 07, 2022 Views: 80
Market Capitalization (or Market Cap) refers to the total market (common equity) value of a company on any given day. It is the total dollar market value of all of a company's outstanding shares. Market capitalization is calculated by multiplying a company's shares outstanding by the current market price of one share. The investment community uses this figure to determine a company's size, as opposed to sales or total asset figures.
Number of shares outstanding X current stock price = Market Cap
You can also calculate the number of Shares Outstanding by dividing the Market Cap by the stock price.