Value of 7 out of top-10 companies shrink:Reliance was top loser whose value decreased by ₹39,718 crore

Out of the 10 largest companies in the country by market cap, the value of 7 companies decreased by ₹1.25 lakh crore in last week’s trading. During this period, Reliance Industries’ market value declined the most. Reliance’s market value decreased by ₹39,718 crore to ₹17.47 lakh crore. Meanwhile, TCS’s market value fell by ₹20,134 crore to ₹7.95 lakh crore. Besides this, the market value of Airtel, Larsen Toubro, LIC, Bajaj Finance and Hindustan Unilever also declined. However, last week the market value of SBI, ICICI Bank and HDFC Bank increased. Sensex fell 532 points last week Last week, Sensex fell by 532 (0.71%) points and Nifty fell by 181 (0.76%) points. On Friday, June 5, Sensex closed at 74,243 with a decline of 116 points. Nifty also saw a decline of 50 points, closing at the level of 23,366. What is Market Capitalization? Market cap is the value of all outstanding shares of any company, i.e., all the shares that are currently held by its shareholders. Its calculation is done by multiplying the total number of issued shares of the company by their price.
The market value of companies increases or decreases due to the rise or fall in share prices. There are several other reasons for this: What is the impact of market cap fluctuations on the company and investors? Impact on Company: A large market cap helps a 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, as the price of their shares increases. However, a decline can lead to losses, which may prompt investors to decide to sell their shares.