Market cap is the stock market’s valuation of a company’s equity. Size categories matter because small caps tend to be more volatile and grow faster, while large caps are more stable. Thresholds are conventions, not rules.
How to use the Market Capitalization Calculator
- Share price
- Shares outstanding
Results update as you type, and every field accepts the units shown in its menu.
How it works
Enter the share price and the number of shares outstanding.
Tips
- Take figures from the same financial statements and the same fiscal year.
- Compare ratios with companies in the same industry, not across industries.
- Use several valuation measures together; no single ratio tells the whole story.
- Market prices change every second – refresh the share price before you rely on a result.
Common mistakes to avoid
- Mixing per-share figures with company totals.
- Using trailing earnings for one company and forward earnings for another.
- Forgetting dilution from options and convertible securities.
Inputs explained
| Field | What to enter |
|---|---|
| Share price | Amount in your currency |
| Shares outstanding | A number |
Example values
How the main result changes when Share price changes and everything else stays at the example values above:
| Share price | Market capitalisation |
|---|---|
| 92.5 | 231,250,000,000 |
| 138.75 | 346,875,000,000 |
| 185 | 462,500,000,000 |
| 231.25 | 578,125,000,000 |
| 277.5 | 693,750,000,000 |
| 370 | 925,000,000,000 |
Formula
Market capitalisation = share price × shares outstandingWorked example
Inputs — Share price: $185; Shares outstanding: 2,500,000,000.
Results — Market capitalisation = $462,500,000,000.00; Size category = Mega cap (> $200B).
Frequently asked questions
How is market cap calculated?
Share price × number of shares outstanding.
What is a large-cap stock?
Usually a company worth more than $10 billion.
Is market cap the same as company value?
No – enterprise value also includes debt and cash.
What formula does the Market Capitalization Calculator use?
Market capitalisation = share price × shares outstanding.