Kokonaiskapitalisaatio

Kokonaiskapitalisaatio is a Finnish term that translates to "total capitalization" in English. It is most commonly used in the context of financial markets, particularly in relation to companies and their stock.

In essence, kokonaiskapitalisaatio refers to the total market value of a company's outstanding shares. It is calculated by multiplying the current market price of a single share by the total number of shares that have been issued by the company. This figure provides a snapshot of how much the market values the company as a whole at a given point in time.

The kokonaiskapitalisaatio is a key metric for investors and analysts. It helps in assessing the size of a company, comparing it to other companies, and understanding its relative importance within an industry or stock exchange. Larger companies, with a higher kokonaiskapitalisaatio, are often referred to as large-cap companies, while smaller companies have a smaller kokonaiskapitalisaatio and are categorized as small-cap or micro-cap.

Changes in a company's kokonaiskapitalisaatio can be influenced by various factors, including changes in its stock price, the issuance of new shares, or share buybacks. It is a dynamic figure that fluctuates with market conditions and company-specific news. Beyond publicly traded companies, the concept can also be applied to other assets or markets to gauge their overall value.