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Q: What do get when you divide the market cap by shares outstanding?
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How do you calculate market capitalization?

To calculate the market cap of a particular company take the total number of outstanding shares times the current share price.Example:A company with 24 million outstanding shares trading at $10 a share = A company with a market cap of 240 million dollars.


How market capitalization affects stock exchange?

Market cap of a stock can affect a stock exchange by increasing the size of an index. Appreciating value of a stock's shares outstanding increasing not only increase the value of market cap, but contributes to the size of the index.


What is m-cap?

Market capitalization (often simply market cap) is the total value of the tradable shares of a publicly traded company; it is equal to the share price times the number of shares outstanding. As outstanding stock is bought and sold in public markets, capitalization could be used as a proxy for the public opinion of a company's net worth and is a determining factor in some forms of stock valuation. Preferred shares are not included in the calculation.


What is M.cap?

M cap refers to Market capitalization. This refers to the total value of all the outstanding stocks of a company. Let us say there are 100,000 shares of XYZ company in the market. The value of each share is $5 then the market cap of XYZ company is $500,000


What does small cap mean?

Refers to stocks with a relatively small market capitalization. Market capitalization measures the size of the firm. It is the current share price times outstanding shares. The definition of small cap can vary among brokerages, but generally it is a company with a market capitalization of between $300 million and $2 billion.


How is market cap determined?

total number of shares multiplied


How is the market cap determined?

total number of shares multiplied


Who is bigger Sony or Microsoft?

Panasonic has $16.32 billion 12 months ending Jun 30, 2012a bigger market capitalization vs Sony $11.75 billion 12 months ending Jun 30, 2012 Market Capitalization, often shortened as "Market Cap", is the total market value of a company's outstanding shares. Market capitalization is calculated by multiplying the number of shares outstanding (this includes the value of all listed categories of a corporation's stocks - preferred stock, common shares, etc) by the market price per share which is the current value of a company. For example, if a company has 10 million shares, and the current price per share is $10, then the company's market capitalization is (10 million shares x $10), or $100 million.Market cap is the public market's gauge of how much a company is worth.The question needs clarification: bigger is 1. more offices more employees more products...


Meaning of large caps stocks?

When the market capitalization of the stock issued by a company exceeds USD 5 billion dollars, it gets classified as a large cap. stock. Market Capitalization = # of outstanding shares * Current Stock Price per share


What is the Market value of equity?

[EBIT-Kd(D)] (1-T)/Ks. earinings [EBIT-Kd(D)] (1-T)/Ks. earinings ----------------------------------------------------------------------------------------------- I am not sure of the above formula as it was given by someone else. but market value of equity and market capitalization are essentially the same thing. Market cap is the price of a share times the number of shares. Market value of equity is the current value of all the shares, at the current market price. market capitalization = share price * no of shares outstanding by Sardar Hissam Durrani :)


How does a stock buy back work?

The board of directors for a company will announce that they have decided to buy back their own shares from the current outstanding shares and then retiring those shares. A Company may do this for several reasons but the main reason is to increase the value of the stock price for the share holders. If a company has 10 million outstanding shares and a current stock price of $5/share (keep in mind the market cap would be $50 million). The company announces that the board has authorized the repurchase of 5 million shares. Then the company will typically buy those shares back throughout the year(or whatever time frame) reducing the outstanding shares to 5 million from the initial 10 million. Let's say that miraculously the company was able to purchase all 5 million shares at $5/share. So they spend $50 million buying back the stock. If I was wealthy shareholder and own 1 million shares of the company then before the buyback I owned 10%(my shares / total outstanding shares....1 milliion/10million) of the company. After the buyback there are now 5 million shares so I own 20% (1 million / 5 million) of the company. If the stock remains at $10/share after the buyback then the the market cap is now 25 million, but if shareholders thought the value of company was worth 50 million before the only thing that has changed after the buyback is the number of outstanding shares. So that means the price should increase to make the market cap go back up. So the idea is when a company buys back stock they increase the value of each share to the shareholder by increasing their ownership in the company. In our case the price of the stock should now be $10/share making the market cap 50 million again ($10/share x 5 million shares = $50 million). So buybacks are an alternative to dividends as a method for a company to return value to the shareholders.


Difference in Market cap vs stock value?

Stock value is the price of the stock at any given time during trading hours Market Cap is the total value of all the shares put together. Let us say there are 100,000 shares of XYZ company. Each share is trading at $25 today then Stock value = $25 Market cap = $2,500,000 (25 * 100,000)