If you had to find a company’s market value, would you know where to look? Now, before you ask, we’re talking listed companies only here, so only those which have shares actively traded on a stock exchange. This kind of figure is notoriously difficult to calculate for privately-owned enterprises but can easily be found for public companies worldwide. You just need to know where to look!
The market value of a publicly-traded company is known as its market capitalisation, or ‘market cap’ for short. The market cap itself is a fairly simple figure, generated by calculating the market value of the company’s outstanding shares (so we take the current share price and multiply it by the amount of shares currently in circulation). It will therefore vary from day to day, minute to minute depending on a company’s share price.
If you don’t have the time or the inclination to do the calculation yourself, the figure can be found in various online services including Thomson One, Bloomberg and Fame.
In Thomson One, just pull up any Company Overview and the company’s Market Cap is displayed in the Market Data section.
Bloomberg’s Market Cap can be found on the Company Description (DES) for any company, just beneath the price chart.
Fame also displays Market Cap on its company report. Look under ‘Size and Main Activity’.
Come and see us in MIRC if you need any help doing this or any other similar searches.