market capitalization

USAGE SUMMARY

"market capitalization" is an appropriate term to use in written English and is often used to refer to the total dollar market value of a company's outstanding shares of stock.
For example: "Apple's market capitalization is the highest of any company in the world".

✓ Grammatically correct

News & Media

Academia

Human-verified examples from authoritative sources

Exact Expressions

60 human-written examples

Granted, rankings by market capitalization are fickle.

The New York Times

Their market capitalization exceeds $350 billion.

The New York Times

Its market capitalization hovers around $2 billion.

The New York Times

Today, Netflix has a larger market capitalization.

Massachusetts Institute of Technology

BP's market capitalization is $128 billion.

University of California, Berkeley

The company's market capitalization was $9.37 billion.

The New York Times - Tech

KGM's market capitalization now tops $18bn.

The Guardian

Lukoil's market capitalization is roughly $23 billion.

The New York Times

Gazprom's market capitalization is now $345 billion.

The New York Times

H.P.'s market capitalization is about $27 billion.

The New York Times

EMC has a market capitalization of $47 billion.

The New York Times

Expert writing Tips

Best practice

When discussing a company's size and value relative to others, use "market capitalization" to provide a standardized comparison. For instance, "The company's "market capitalization" exceeds that of its competitors, indicating strong investor confidence".

Common error

Avoid using "market capitalization" as a direct substitute for revenue or profit. While a high "market capitalization" can reflect strong financial performance, it primarily represents investor expectations and perceived value, not actual earnings.

Linguistic Context

The phrase "market capitalization" functions as a noun phrase, serving as a subject or object in a sentence. It refers to the total value of a company's outstanding shares. As Ludwig AI shows, it's commonly used in financial reporting and analysis.

Expression frequency: Very common

Frequent in

News & Media

65%

Academia

20%

Formal & Business

10%

Less common in

Science

5%

Encyclopedias

0%

Wiki

0%

Ludwig's WRAP-UP

The term "market capitalization" is a common and correct noun phrase used to describe the total market value of a company's outstanding shares. Ludwig AI confirms its appropriateness in written English. It is frequently used in news media, academic contexts, and formal business settings. While alternatives like "market value of equity" or "market cap" exist, "market capitalization" provides a standardized measure for comparing company sizes. A crucial best practice is to avoid confusing "market capitalization" with direct measures of financial performance like revenue or profit.

More alternative expressions

Phrases that express similar concepts, ordered by semantic similarity:

Company's market cap

A more casual and abbreviated version of the term.

Equity market capitalization

Specifies that the capitalization refers to equity.

Market value of equity

Focuses on the equity component, emphasizing the value aspect.

Firm's total equity value

Replaces "market capitalization" with a more descriptive term.

Total shareholder value

Highlights the value delivered to shareholders.

Enterprise equity value

Similar to "market value of equity", focusing on the enterprise.

Aggregate equity valuation

Emphasizes the combined valuation of all equity.

Outstanding shares value

Highlights the value based on the outstanding shares.

Total market valuation

Generalizes the concept to any market valuation, not just equity.

Company valuation

A broader term that encompasses all methods of valuing a company.

FAQs

How is "market capitalization" calculated?

The "market capitalization" is calculated by multiplying a company's outstanding shares by its current market price per share.

What does a company's "market capitalization" indicate?

A company's "market capitalization" indicates its size, as perceived by the stock market. It's a key metric for investors to assess the relative value of different companies.

Which is correct, "market capitalization" or "market capitalisation"?

"Market capitalization" and "market capitalisation" are both correct, but the former is more common in American English, while the latter is preferred in British English.

What are some alternatives to saying "market capitalization"?

Depending on the context, you can use terms like "market value of equity", "total shareholder value", or simply "market cap".