Definition of Terms
Term
LARGE CAP raagvamd, RaagVamdatt |
This is a classification of a company based on its market cap. The definition of Large Cap is not clear, and it varies from institution to institution. But as a general rule, if a company has a market capitalisation of more than Rs. 5000 Crores, it is considered as a Large Cap.
A Large Cap company is normally a dominating player in its industry, and has a stable growth rate.
It should be noted that almost all the Large Cap companies from India would be considered as Mid Cap or Small Cap companies in a global scenario, as globally, companies are usually classified as Large Cap if their market cap is more than $10 Billion (roughly Rs. 39,000 Crores).
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