large cap


Over $5 billion capitalization. Companies are usually classified as either large cap, medium cap, small cap, or micro cap, depending on their market capitalization, but the dividing lines are somewhat arbitrary. As a general guideline, the market capitaliation is $5 billion or more for large caps, $1 billion to $5 billion for medium caps, $250 million to $1 billion for small caps, and less than $250 million for micro caps. When calculating the market caps of foreign companies who have issued ADRs in the US, only the outstanding ADR shares are considered, not the shares issued by that company in other countries.

Use large cap in a sentence

You need to understand how a large cap will work and do your best to take full advantage of what it offers.

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I thought when my uncle Rick was talking about his large cap meant that he had a big head, not that he owned billions of dollars in capital.

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The new social networking platform managed to raise $6 billion of capitalization nearly over night; this large cap was going to make Facebook look like Myspace!

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Dow Jones Wilshire Large Cap Index style investing