AuthorTopic: 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.

CFA Discussion Topic: Market Value of Equity in WACC

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