1. Business & Finance

Market Capitalization

From , former About.com Guide

Definition: Market capitalization is the total dollar market value of all of a company's outstanding shares of stock. It is calculated by multiplying a company's outstanding shares by the current market price of one share. For example, if a company had 40 million shares outstanding, each worth $100, the total market capitalization for the company would be $4 billion. (40,000,000 X $100 per share).
Also Known As: market cap

©2012 About.com. All rights reserved.

A part of The New York Times Company.