Market Valuation

Market valuation is the estimated overall worth of a company or asset, determined by the current price investors are willing to pay in the open market. For a publicly traded company, this is often reflected by its market capitalization, which is calculated by multiplying its share price by the total number of outstanding shares. It provides a snapshot of how the market collectively perceives the company's value based on factors like financial performance, growth prospects, and market conditions. Essentially, market valuation indicates how much investors believe a business or asset is worth at a given moment.