Talking about the market valuation, the valuation of 6 of the top 10 companies in the country after last week's trading is Rs. 2.03 lakh crore has increased. Tata Consultancy Services (TCS) was the highest profit earner during this period. The market cap of the company is Rs. 62,574.82 crore increased to Rs. 16.09 lakh crore has been reached.
At the same time HDFC Bank in its valuation of Rs. 45,338 crores added, the largest private sector bank now has a market cap of Rs. 14.19 lakh crore has been reached. The market capitalization of the country's largest company, Reliance Industries, during this period was Rs. 26,185 crore to Rs. 17.75 lakh crore has happened.
Airtel's value fell by ₹16,720 crore
While after last week's trading, telecom company Bharti Airtel's value was Rs. 16,720 crore has declined and the company's market cap has fallen to Rs. 9.10 lakh crore has happened. At the same time, valuations of ITC, Hindustan Unilever and Life Insurance Corporation of India ie LIC have also declined.
Last week, the stock market rose by 1,907 points
Sensex saw a rise of 1907 points last week. On the last trading day of the week on 6th December, the stock market traded flat. The Sensex closed down 56 points at 81,709. The Nifty also closed down 30 points at 24,677.
At the same time, BSE Smallcap closed up 342 points at 57,050. Out of 30 Sensex stocks, 17 declined and 13 advanced. Out of 50 Nifty stocks, 32 declined and 18 advanced. The metal sector closed the highest in the NSE sectoral index with a gain of 1.23%.
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 shares outstanding) x (Share price)
How does market cap work?
Whether a company's shares will give 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. Stock prices rise and fall according to supply and demand. Therefore, market cap is the publicly perceived value of a 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).
