market cap

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market cap

(market CAPitalization) The sum derived from the current stock price per share times the total number of shares outstanding. Although the market cap of a company is an indication of the value of the company, it is only a temporary metric based on the current stock market. The true value of the company (its profits, product positioning, balance sheet, etc.) may not be reflected in the market cap. Of course, the perfect example occurred during the dot-com explosion of the late 1990s, when the market caps of many companies that never made a dime in profit rose to astronomical heights. Conversely, a company can be doing well, but still have a low market cap if its products and reputation have not caught the fancy of the masses.
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Such downward movement translates into a significant boost in market capitalization.
According to NAREIT, increased REIT market capitalization has enhanced overall liquidity, which, in turn, has greatly increased the attractiveness to institutional investors over the last several years.
The company would reach the $400 million market capitalization level by having large individual investors or finding the right Investment Banker where they will buy enough company shares from the open market in order to bring the share price to $1 where at that point the market capitalization will be $400 million.
On June 30, 2006, our listed operating companies represent a total global market capitalization of over $ 22.
The Alerian MLP Index is a composite of the 50 most prominent energy master limited partnerships and will be calculated by Standard & Poor's using a float-adjusted market capitalization methodology.
S&P also strives to maintain a balance of sector representation that matches the entire universe of companies in the market capitalization range.
Large Cap comprises companies with a market capitalization in excess of EUR 1 billion, the Mid Cap companies have a market capitalization of between EUR 150 million and EUR 1 billion, while the Small Cap companies have a market capitalization below EUR 150 million.