New Delhi, March 21 -- One key measure to understand a company's value is market capitalisation-it reveals how the market values a business at any given moment. Whether an experienced investor or a newcomer, market cap is an essential guide to assessing a company's growth potential.

Market capitalisation or market cap is the total value of a company's outstanding shares. It highlights the size, value, and financial health of a company in the stock market.

Market cap is calculated by multiplying the current stock price by the total outstanding shares.

The formula to calculate market cap is - Market cap = Current stock price * total outstanding shares.

For instance, if a company has 50,000 shares, with a closing price of Rs100 per share...