Market capitalization

Market capitalization, often abbreviated to market cap, is a business term that refers to the overall value of a company's stock. In essence, it is the price one must pay to buy an entire company (putting aside that trying to buy an entire company off the market would cause immense price distortions, and takeovers are almost always at more than market price). The size and growth of a company's market capitalization often is one of the critical measurements of a public company's success or failure.

Related Topics:
Business - Value - Company - Stock - Price

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Market capitalization is calculated by multiplying the number of shares of the company and the current price of those shares. The term capitalization is sometimes used as a synonym of market cap; other times, it denotes market cap plus long term debt.

Related Topics:
Shares - Debt

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The total market capitalization of all the companies listed on the New York Stock Exchange is greater than the amount of money in the United States.

Related Topics:
New York Stock Exchange - Amount of money - United States

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