The Market Capitalisation or Market Cap is also known as the Market Value and is the total value of a publicly traded/listed company.
To work out the market value or market cap, you multiply the number of shares outstanding (total amount of shares a company has) by the current share price.
For example, in 2018, Netflix had 0.451 billion shares outstanding, if you times this by their share price of $367.03, their market cap would be $165.5 billion.
0.451 billion x $367.03 = $165.5 billion
Please know, the value of investments can go up as well as down and you may receive back less than your original investment, meaning, when investing your capital is at risk.
Disclaimer: At Evarvest we believe in making investing and investment education more accessible, but we don’t provide investment advice and individual investors should make their own decisions. While we try our best, we cannot ensure the accuracy of the information we provide.
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