Best Loans

Stock Market Definitions

Stock Market Definitions

Terms which apply to Stocks and the Stock Market

Definition of stock market and investing terms.

Market Value

Applies to the size of a company. Market value is also referred to as market capitalization or market cap for short. To figure out a company's market cap, you must multiply the outstanding shares of the companies times the current share price.

The categories of Market Cap are: Micro-Cap: companies with market caps under $250 Million. Small-Cap: companies with market caps between $250 Million and $1 Billion. Mid-Cap: companies with market caps between between $1 Billion and $5 Billion. Large-Cap: companies with market caps greater than $5 Billion.

Book Value Take current total assets of a company minus total liabilities. Then divide the result by the current number of outstanding shares. This will give you the book value per share of a company. A company should never sell for less than this amount, and if it does, you may have found a bargain.

For more stock market definitions

Thanks for visiting. News updated daily at Times Of The Internet Please visit the PerformanceCorporate Directory. Member of the Blog Republic.