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)
  • Understanding Equity Capital in Small and Medium-Sized Enterprises
    by Siri Terjesen
    Entrepreneurs may require both debt and equity financing, and often start their firms by financing growth through equity. Equity capital is money invested in the venture with no legal obligation on the entrepreneur to repay the principal amount or to pay interest on it; however, it requires sharing the ownership and profits with the funding source, and possibly also paying dividends to equity investors.After value has been built, entrepreneurs...
  • Standard Procedure: IFRS Harmonization
    by Victor Smart
    This article was first published in Quantum magazine.International accounting standards are vital to make allocating capital easier and more effective on a global scale. But there is significant variance in the pace at which they are being adopted, while regionalization threatens to change the shape of the market.
  • Private Investments in Public Equity
    by William K. Sjostrom, Jr
    PIPE transactions are highly negotiable; hence, there is a fair amount of variation from deal to deal with respect to the attributes of the PIPE securities. PIPE securities may consist of common stock or securities convertible into common stock, such as convertible preferred stock or convertible notes, and may be coupled with common stock warrants.Regardless of the type of securities involved, PIPE deals are categorized as either traditional or...
  • 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.

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