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May 09, 2024, 01:32:12 am

Author Topic: Market Capitalisation  (Read 1849 times)  Share 

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jackinthepatch

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Market Capitalisation
« on: February 23, 2009, 09:06:13 pm »
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Hey all. Just wondering if anyone could give me a brief summary of market capitalisation. A definition, and how it's calculated would be great. This is just one thing I have been unable to find a proper definition of.
Thanks in advance.
VCE 2008:
Physical Education [50]
VCE 2009:
Business Management [49]
Biology [48]
Further Mathematics [44]
Chemistry [39]
English Language [36]

ENTER: 99.25

brendan

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Re: Market Capitalisation
« Reply #1 on: February 23, 2009, 09:15:52 pm »
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market cap = (number of outstanding shares)*(market price per ordinary share)

jackinthepatch

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Re: Market Capitalisation
« Reply #2 on: February 23, 2009, 09:23:39 pm »
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Ok thanks, but what does number of outstanding shares refer to?
VCE 2008:
Physical Education [50]
VCE 2009:
Business Management [49]
Biology [48]
Further Mathematics [44]
Chemistry [39]
English Language [36]

ENTER: 99.25

brendan

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Re: Market Capitalisation
« Reply #3 on: February 23, 2009, 09:29:25 pm »
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im not sure how to break it down further there...

mypurpleundercracka

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Re: Market Capitalisation
« Reply #4 on: February 23, 2009, 09:32:50 pm »
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The definition isn't in my text book, my teacher said its calculated by the number of shares times the value of shares

brendan

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Re: Market Capitalisation
« Reply #5 on: February 23, 2009, 09:35:33 pm »
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jackinthepatch

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Re: Market Capitalisation
« Reply #6 on: February 23, 2009, 09:41:13 pm »
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Ah that link cleared it up. Thanks guys.
VCE 2008:
Physical Education [50]
VCE 2009:
Business Management [49]
Biology [48]
Further Mathematics [44]
Chemistry [39]
English Language [36]

ENTER: 99.25