The new billionaires’ club – M2, AHE & SGH

Financial journalist and commentator on 3AW and Sky Business
Print This Post A A A

Capitalisation – meaning a stock’s value on the market – is more than just the product of multiplying the share price by the number of shares, or a means of ranking stocks. ‘Market cap’ can definitely be a factor itself in the way in which a stock is perceived.

Clearly, rising market cap is a good thing, because it means the share price is rising – with the opposite holding true as well.

Market cap changes are closely watched by professional investors and are often considered causes to buy or sell.

Also from this edition