The value of 6 out of the country’s 10 largest companies decreased by ₹64,734.46 crore in last week’s trading. This decline came due to tensions in West Asia and the Israel-Iran conflict. During this period, Bharti Airtel’s value fell the most. Bharti Airtel’s market cap decreased by ₹29,993.07 crore to ₹10.20 lakh crore. ICICI Bank’s market value fell by ₹12,845.81 crore to ₹8.70 lakh crore. Bajaj Finance’s market cap decreased by ₹11,169.36 crore to ₹5.14 lakh crore. Meanwhile, HDFC Bank’s market value fell by ₹7,822.79 crore to ₹11.56 lakh crore. Besides this, the market cap of Hindustan Unilever and State Bank of India also declined. On the other hand, the market value of TCS, Infosys, Larsen Toubro and Reliance Industries increased. What is Market Capitalisation? Market cap is the value of all outstanding shares of any company, meaning all the shares that are currently held by its shareholders. It is calculated by multiplying the total number of issued shares of the company by their price. What is the impact of market cap fluctuations on the company and investors? Impact on Company: A large market cap helps the company raise funds from the market, take loans, or acquire other companies. On the other hand, a small or low market cap reduces the company’s ability to make financial decisions. Impact on Investors: An increase in market cap directly benefits investors because the price of their shares increases. On the other hand, a decline can lead to losses, which may prompt investors to decide to sell their shares. Post navigation Moody’s cuts India’s GDP forecast to 6% for FY27:Rating agency says Iran war-led disruptions will raise inflation risks Trump’s final 48-hour ultimatum to impact stock markets:’Nifty’s next support lies at 22,637′
