Winning Bizness Desk

Mumbai. In a very interesting scenario, the market cap of 7 out of the top 10 companies of the country have suffered a loss of about Rs 75 thousand crores last week. Out of these companies, HDFC Bank has been the biggest loss-making company as its market cap saw a decline of about ₹ 25 thousand crores. ICICI Bank, Hindustan Unilever, Infosys and ITC have also witnessed major decline in their market cap. Apart from these, the market cap of Bajaj Finance fell by about Rs 5 thousand crore to Rs 4.27 lakh crore. The market-cap of Infosys also fell by around Rs 2,656 crore to around Rs 5.70 lakh crore. At the same time, there was a jump in the market cap of Reliance Industries, Tata Consultancy Services (TCS) and State Bank of India (SBI). On Friday (August 11), the BSE i.e. Sensex fell 365 points and closed at 65,322.

Know what is Market Capitalization?

Market cap is the value of the total outstanding shares of any company which is calculated by multiplying the total number of issued shares of the company by the stock price. Market cap is used to categorize stocks of companies to help investors choose them according to their risk profile. Such as large cap, mid cap and small cap companies. Whether or not a company's stock will get profit or not is estimated from many factors. One of these factors is also the market cap. Investors can find out how big a company is by looking at its market cap. The higher the market cap of the company, the better the company is considered. Stock prices rise and fall according to demand and supply. Therefore market cap is the public perceived value of that company.