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Market Capitalisation (or 'market cap') is the the total number of
issued multiplied by the current price. Since the amount of stock issued by a company is rarely the same, market cap allows the implied valuation of two quoted companies to be compared.
Many stock indices such as the S&P 500, FTSE 100 or DAX use market capitalisation to help determine whether a quoted company should be included or not (although it is not the only criteria).
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