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Q&A
Q. What is "market capitalization"?
A. Simply put, market capitalization (or "market cap") is what the stock market currently thinks a company is worth. A company's market capitalization is calculated by multiplying the number of shares outstanding for the company times the current price of a single share of the company's stock. For example, a company with 25 million shares outstanding and a current share price of $10 per share would have a market cap of $250 million (25 million x $10).
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