After last week's trading, market valuations of the country's three largest banks – ICICI, HDFC and State Bank of India (SBI) – rose by Rs. 69,879 crore has increased. Meanwhile, 4 of the country's top 10 listed companies have a market cap of Rs. 81,151 crore has increased.
ICICI Bank was the top gainer in this. Meanwhile, the market cap of private sector lenders is Rs. 28,495 crore to Rs. 8.90 lakh crore has been reached. Earlier, the valuation of the company was Rs 8.61 lakh crore. Meanwhile, the market cap of telecom company Bharti Airtel is also Rs. 11,272 crore to Rs. 9.72 lakh crore has happened.
Reliance and Infosys are the top losers in the market
Tech service provider Infosys was the top loser in the market last week. The market cap of the company is Rs. 23,314 crore down to Rs. 7.80 lakh crore has happened.
Also, the market cap of Reliance Industries, the country's largest company, has fallen by Rs 16,645 crore to Rs 18.39 lakh crore.
Apart from this, the total market cap of 6 companies including Infosys, ITC, Hindustan Unilever, LIC is Rs. 76,621 crore has decreased.
Last week, the stock market fell by 156 points
On the last day of the week (Friday, October 18), the Sensex recovered 815 points from the day's low of 80,409. It closed at 81,224 with an increase of 218 points after the day's trade.
The Nifty also improved by 287 points from the day's low of 24,567. The Nifty also rose 104 points to close at 24,854. The metal and bank sectors of the NSE were the biggest gainers.
What is market capitalization?
Market cap is the value of any company's total outstanding shares, i.e. all the shares that are currently held by its shareholders. It is calculated by multiplying the total number of issued shares of the company by the share price.
Market cap is used to classify stocks of companies to help investors choose them according to their risk profile. Like large cap, mid cap and small cap companies.
Market Cap = (Number of outstanding shares) x (Share price)
How does market cap work?
Whether a company's shares will yield profit or not is estimated by looking at many factors. One of these factors is market cap. Investors can know how big a company is by looking at the market cap.
The higher the market cap of the company, the better the company is considered. Stock prices rise and fall according to supply and demand. Therefore, market cap is the publicly perceived value of that company.
How does market cap fluctuate?
It is clear from the market cap formula that it is calculated by multiplying the total number of issued shares of the company by the share price. That is, if the share price increases, the market cap will also increase and if the share price decreases, the market cap will also decrease.
Image Credit: (Divya-Bhaskar): Images/graphics belong to (Divya-Bhaskar).
