- CFA Exams
- Forums
- General Forum
- Topic: Market Value of Equity in WACC
Author | Topic: Market Value of Equity in WACC |
---|---|
yunjoy @2014-06-07 14:55:43 |
Is the market value of Equity the same thing as Market Capitalization? Market Price per share * # of shares outstanding? |
davon @2014-06-08 19:02:56 |
I dont think so. MVE is the value of all issued shares (including treasury and preferred), while market cap is only outstanding common shares. I think thats accurate. |
xdelmas @2014-06-26 18:39:06 |
MVE is WACC = market cap of common stock For the CFA exam, thats all you need to know. The point in WACC is that debt and equity weights are based on market values. |