Market Capitalization Calculator
Calculate a company's market cap from share price and shares outstanding.
Includes size classification: nano-cap to mega-cap.
What Is Market Capitalization?
Market capitalization (market cap) is the total market value of all a company’s outstanding shares. It is the most common way to measure a company’s size.
Formula
Market Cap = Share Price × Shares Outstanding
For example: if a company trades at $50 per share and has 200 million shares outstanding, its market cap is $50 × 200,000,000 = $10 billion.
Market Cap Classifications
| Classification | Market Cap Range | Examples (approximate) |
|---|---|---|
| Nano-cap | Under $50 million | Very small startups, penny stocks |
| Micro-cap | $50M – $300M | Small regional companies |
| Small-cap | $300M – $2 billion | Growing mid-size companies |
| Mid-cap | $2B – $10 billion | Established companies |
| Large-cap | $10B – $200 billion | Blue-chip stocks |
| Mega-cap | Over $200 billion | Apple, Microsoft, Amazon, etc. |
Why Market Cap Matters
Market cap is used to compare companies across industries. It forms the basis for major indices like the S&P 500 (which weights by market cap). Larger companies are generally considered less risky but with slower growth potential. Smaller companies can grow faster but carry more volatility.
Market Cap vs. Enterprise Value
Market cap only counts equity (shares). Enterprise Value (EV) also includes debt and subtracts cash — a fuller picture of a company’s total value.