The total market value of all of a company's outstanding shares. Market capitalization is calculated by multiplying a company's shares outstanding by the current market price of one share. The investment community uses this figure to determine a company's size, as opposed to sales or total asset figures. Frequently referred to as "market cap."

If a company has 35 million shares outstanding, each with a market value of Kshs 100, the company's market capitalization is Kshs 3.5 billion (35,000,000 x Kshs 100 per share).

The term should not be confused with a company's "capitalization," which is a financial statement term that refers to the sum of a company's shareholders' equity plus long-term debt.