TCS market cap declined by ₹85,731 crore this week: Value of 6 of the top 10 companies increased by ₹1.97 lakh crore, ICICI Bank was the top gainer
After this week’s trading (16 to 20 September), the market cap of Tata Consultancy Services (TCS) has decreased by Rs 85,731 crore during this period. A week ago, the company’s market cap was Rs 16.36 lakh crore, which has now come down to Rs 15.50 lakh crore.
At the same time, in terms of market capitalization, the value of 6 of the top 10 companies of the country has increased by a combined Rs 1,97,734.77 crore (Rs 1.97 lakh crore) this week. ICICI Bank was the top gainer during this period. During the week’s trading, private sector bank valuation increased by Rs 63,359.79 crore.
Now the market cap of the company has become Rs 9.44 lakh crore. Apart from ICICI Bank, HDFC Bank, Bharti Airtel, Reliance Industries, Hindustan Unilever and ITC also earned a lot in the market during this period.
The market made an all-time high on Friday
On Friday (September 20), the Sensex made a new all-time high of 84,694 and the Nifty of 25,849 after strong signals from global markets. After the day’s trading, the Sensex closed at 84,544 with a gain of 1359 points.
At the same time, Nifty rose by 375 points and closed at 25,790. Out of 30 Sensex stocks, 26 rose and 4 fell. Out of 50 Nifty stocks, 44 rose and 6 fell. This week, Sensex rose by 1,654 points.
What is market capitalization?
Market cap is the value of the total outstanding shares of any company, that is, all the shares that are currently held by its shareholders. It is calculated by multiplying the total number of issued shares of the company with the stock price.
Market cap is used to categorise company stocks to help investors choose them based on their risk profile, such as large cap, mid cap and small cap companies.
Market cap = (number of shares outstanding) x (price of shares)
How does market cap work?
Whether a company’s stock will give profit or not is estimated by looking at several factors. One of these factors is market cap. Investors can find out how big the company is by looking at the market cap.
The higher the market cap of a company, the better it is considered to be. Stock prices rise and fall according to demand and supply. Therefore, market cap is the public perceived value of that company.
How does market cap fluctuate?
It is clear from the formula of market cap that it is calculated by multiplying the total number of issued shares of the company with the stock price. That is, if the share price increases, the market cap will also increase and if the share price decreases, the market cap will also decrease.
