{"id":27709,"date":"2026-04-16T09:34:04","date_gmt":"2026-04-16T09:34:04","guid":{"rendered":"https:\/\/www.samco.in\/help-support\/?post_type=ht_kb&#038;p=27709"},"modified":"2026-04-16T09:34:26","modified_gmt":"2026-04-16T09:34:26","slug":"what-is-market-capitalisation-and-what-does-it-tell-you-about-a-company","status":"publish","type":"ht_kb","link":"https:\/\/www.samco.in\/help-support\/article\/what-is-market-capitalisation-and-what-does-it-tell-you-about-a-company\/","title":{"rendered":"What is market capitalisation and what does it tell you about a company?"},"content":{"rendered":"\n<p>Market capitalisation (market cap) is the total market value of a company&#8217;s outstanding shares. It is calculated by multiplying the current share price by the total number of shares issued.<\/p>\n\n\n\n<p><strong>Formula:<\/strong><\/p>\n\n\n\n<p>Market Cap = Current Share Price \u00d7 Total Number of Shares Outstanding<\/p>\n\n\n\n<p>For example, if a company has 10 crore shares and each share is trading at \u20b9500, its market cap is \u20b95,000 crore.<\/p>\n\n\n\n<p><strong>What does it tell you?<\/strong><\/p>\n\n\n\n<p>Market cap gives you a quick sense of a company&#8217;s size. It is not the same as the company&#8217;s revenue or profit; it reflects what the market collectively believes the company is worth at a given point in time.<\/p>\n\n\n\n<p>A higher market cap generally indicates a larger, more established company. A lower market cap could mean a smaller or newer company which may offer more growth potential but also comes with higher risk.<\/p>\n","protected":false},"author":65,"comment_status":"open","ping_status":"closed","template":"","format":"standard","meta":[],"ht_kb_category":[2969],"ht_kb_tag":[],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/www.samco.in\/help-support\/wp-json\/wp\/v2\/ht_kb\/27709"}],"collection":[{"href":"https:\/\/www.samco.in\/help-support\/wp-json\/wp\/v2\/ht_kb"}],"about":[{"href":"https:\/\/www.samco.in\/help-support\/wp-json\/wp\/v2\/types\/ht_kb"}],"author":[{"embeddable":true,"href":"https:\/\/www.samco.in\/help-support\/wp-json\/wp\/v2\/users\/65"}],"replies":[{"embeddable":true,"href":"https:\/\/www.samco.in\/help-support\/wp-json\/wp\/v2\/comments?post=27709"}],"version-history":[{"count":1,"href":"https:\/\/www.samco.in\/help-support\/wp-json\/wp\/v2\/ht_kb\/27709\/revisions"}],"predecessor-version":[{"id":27711,"href":"https:\/\/www.samco.in\/help-support\/wp-json\/wp\/v2\/ht_kb\/27709\/revisions\/27711"}],"wp:attachment":[{"href":"https:\/\/www.samco.in\/help-support\/wp-json\/wp\/v2\/media?parent=27709"}],"wp:term":[{"taxonomy":"ht_kb_category","embeddable":true,"href":"https:\/\/www.samco.in\/help-support\/wp-json\/wp\/v2\/ht_kb_category?post=27709"},{"taxonomy":"ht_kb_tag","embeddable":true,"href":"https:\/\/www.samco.in\/help-support\/wp-json\/wp\/v2\/ht_kb_tag?post=27709"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}