In calculating a company's market capitalization, the value of all its shares is considered. "Float" refers to outstanding shares that are available for public trade. The free-float method of determining market capitalization excludes locked-in shares, such as those held by business executives and governments. Many of the world's most important indices, such as the Dow Jones Industrial Average and the S&P 500, have moved to a free-float methodology over the past few years.

Market capitalization (market cap) and free-float market capitalization are key metrics used to evaluate the value and size of a publicly traded company in the financial markets. Market cap represents the total value of a company's outstanding shares, calculated by multiplying the current market price per share by the total number of shares outstanding. It provides a broad measure of the company's overall worth in the market.

On the other hand, free-float market cap considers only the shares that are available for trading in the open market, excluding restricted shares held by insiders, promoters, or other entities. This metric offers a more realistic assessment of a company's market value, as it focuses on shares that are actively traded and available to the public. Free-float market cap is particularly useful for investors looking to understand the liquidity and true market dynamics of a stock, as it excludes shares that may be less accessible for trading. Both market cap and free-float market cap play crucial roles in investment analysis, offering different perspectives on a company's valuation.