Market Capitalisation

Recently, Reliance Industries Limited (RIL) became the first Indian company to surpass Rs. 20 lakh crore in market capitalisation.

What is Market Capitalisation?

  • It is a term used to represent the market value of a company based on its current share price and the total number of its outstanding shares.
  • It can be calculated by multiplying the number of outstanding shares of a company by the current price of its shares.
  • It represents the market’s perception of a company’s worth and indicates its size and significance in the financial markets.
  • On the basis of market cap, companies may be classified ....
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