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You're confused. It refers to the price of all available shares. We don't say "The size of Meta shrunk in one day by 20%" because the share price fluctuated.
by VirusNewbie 2y ago
You're confused. It refers to the price of all available shares. We don't say "The size of Meta shrunk in one day by 20%" because the share price fluctuated. That would be retarded. No one refers to the 'size' of a company is referring to market cap.
- kaashif 2y ago> No one refers to the 'size' of a company is referring to market cap. Saying a company is "the largest by market cap" is very common. Just saying "largest" on its own is ambiguous. "Largest by revenue" is also very common. "Biggest by market cap" -- https://www.investopedia.com/biggest-companies-in-the-world-by-market-cap-5212784 https://www.investopedia.com/biggest-companies-in-the-world-... "Microsoft is the largest company in the world, with a market cap of $3.13 trillion." -- https://www.fool.com/research/largest-companies-by-market-cap/ https://www.fool.com/research/largest-companies-by-market-ca... I think "large" usually means revenue, but it can mean market cap too.
- medo-bear 2y agoYour presumtion of others' inability to understand is making you confused. No one said market cap equals size of a company. But market cap does measure financial power if we talk about percentage of shares owned. Anyway no single private entity should have that amount of market cap.
- VirusNewbie 2y ago“medo-bear 2 hours ago | parent | next [–] Market cap refers to size“ Short term memory isn’t great?
- medo-bear 2y agoMarket cap refers to size. Whats confusing you ? > No one refers to the 'size' of a company is referring to market cap Market cap is certainly used to evaluate the size of a company. https://www.investopedia.com/terms/m/marketcapitalization.asp https://www.investopedia.com/terms/m/marketcapitalization.as...
- VirusNewbie 2y agoNothing in the linked article says anything about market cap representing the “size” of a company. It talks about typical market caps of various size companies, but it never claimed it was bidirectional relationship. It seems you just googled market can and size and decided to link it. Unbelievable.
- medo-bear 2y agoThe article lists it as one of 3 key takeaways: Market cap is used to determine a company's size, and then compare the company's financial performance to other companies of various sizes.
- VirusNewbie 2y agoBut it doesn’t actually say that in the article
- medo-bear 2y agoMaybe this will help you: https://abc.duolingo.com/ https://abc.duolingo.com/