Construct · 1 fields · 1 citations

capitalization: a standalone construct

One name. One construct. A landmark on the map.

● anchor · a standalone construct Nearest construct by meaning·not indexed
capitalization1 CONSTRUCTMarket capitalizationPRICE × SHARES

A single standalone construct; nearby constructs are located against it in the Collider. Tap a field for its definition, unit, and measures.

Finance

The total market value of a firm's shares

In finance, market capitalization is the total market value of a company's outstanding equity (share price times the number of shares), used as a measure of a firm's size and to sort stocks into large-, mid-, and small-cap groups. Brealey, Myers, and Allen's Principles of corporate finance treats capitalization and capital structure as central to how a firm is valued and financed. The referent is the aggregate market value of a company's shares, measured in currency at a point in time, and it is a different construct from recording an expenditure as an asset or using capital letters, sharing only the word.[1]

Unit
Share price multiplied by shares outstanding: a firm's total equity market value
Recovery means
Not applicable
Measured by
Computed as current share price times shares outstanding, at a point in time

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Nearby constructs

aggregate3 fields · 6 citationsjingle · one word, three constructsamortization1 fields · 1 citationsanchor · a standalone constructasset2 fields · 2 citationsjingle · one word, two constructs

References

  1. Brealey, R. A., Myers, S. C., & Allen, F. (2014). Principles of corporate finance (11th ed.). McGraw-Hill Education. ISBN 9780078034763

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