Glossary
/Market Capitalization
Want to figure out a company's actual size in the stock market? Just take the current share price and multiply it by the total number of outstanding shares. That massive resulting number is the market cap. It completely ignores the company's debt and focuses on the value of the equity. In India, this number is used to neatly sort companies into buckets like Large-Cap, Mid-Cap, and Small-Cap. Generally, larger market caps indicate the stock is significantly safer and less volatile.