![]() For example, a company with 1,000 outstanding shares priced at Rs 10 each would have a market cap of Rs 10,000. It is calculated by multiplying the price of 1 share by the total number of outstanding shares in the market. The market capitalization of a company is the total value of all of a company’s shares of stock. The formula for Index calculation is – (total free-float market capitalization/ Base market capitalization) * Base index value.īefore we look at Free Float Market Capitalization we must understand what is market capitalization. Company to have reported a substantial part of its revenue from its core business operations.The stock should be highly liquid meaning easy to buy and sell.The company must be listed on BSE for at least three months.Criteria to be included in Sensex:Ĭompanies need to meet the below 5 criteria to be a part of the Sensex THE S&P BSE index Committee takes decisions on which companies are added or deleted from the index bi-annually in June and December. If a company undergoes any major corporate actions such as spinoffs, mergers, and acquisitions, compulsory delisting etc then too they are removed from the list. In other words, non-performing stocks are removed from the Index and replaced with high performers. However, the companies within the indices are subject to change over time to reflect the current market situation. ![]() The fluctuation of Sensex depends on how these companies are doing on a given day. The financial services sector like Banks or NBFCs holds the highest weightage in Sensex followed by IT companies. ![]() The larger the market cap of the company, the bigger its weight is in the index. Only those companies are listed on Sensex, whose Free Float Market Capital is the highest. These companies are selected based on the free float market capitalization methodology. Standard & Poor’s (S&P) operates the S&P BSE Sensex. Sensex is the oldest stock index in India. Therefore, Sensex was constituted to represent large-cap, financially sound companies from various key sectors that are listed on BSE. It would be nearly impossible to track the performance of each of these companies, as discussed earlier. There are around 6,000+ listed companies on the BSE. The word Sensex is derived from two words ‘Sensitive’ and ‘Index’. But before planning to invest in these foreign stocks let us take a look at the performance of Sensex vis-a-vis S&P 500 and FTSE 100. Today, we have the opportunity to invest in these global giants. This is because these are some of the largest companies in the world, in their respective sectors. Despite that, there is growing attraction among Indian investors towards foreign stocks, be it Apple, Google, or Netflix. You are advised to exercise caution, discretion and independent judgment with regards to the same and seek advice from professionals and certified experts before taking any decisions.īy using this site, you agree to the Terms of Service and Privacy Policy.Indian stock exchanges like the Bombay Stock Exchange (BSE) or National Stock Exchange (NSE) list over 5,500+ companies. The content and any output of such tools/analysis is for informational purposes only and should not be relied upon or construed as an investment advice or guarantee for any specific performance/returns advice or considered as recommendation for the purchase or sale of any security or investment. All timestamps are reflected in IST (Indian Standard Time).ĭISCLAIMER: Any and all content on this website including tools/analysis is provided to you only for convenience and on an “as-is, as- available” basis without representation and warranties of any kind. Sensex & BSE Quotes and Nifty & NSE Quotes are real-time and licensed from BSE and NSE respectively. (for corporate data, historical price & volume, F&O data). DATA SOURCES: TickerPlant (for live BSE/NSE quotes service) and Dion Global Solutions Ltd.
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |