This is the Difference Between Market Cap and Enterprise Value

🔥 Mastering Financial Markets: The Ultimate Beginner's Course: 🔥
From Zero to One in Global Markets and Macro Investing

A new self-paced online course that explores how financial markets work through stories, examples, charts and infographics, giving you enough context to make sure "it clicks."

🚀 Check it out 👉 courses.perfiliev.com/p/mastering-financial-market…

▪️ Follow me on Twitter: twitter.com/perfiliev

▪️ Follow me on LinkedIn: www.linkedin.com/in/sergei-perfiliev/

▪️ Subscribe to the Channel:    / @perfilievfinancialtraining  


Frequently I see confusion between Market Cap and Enterprise Value. Specifically, if both metrics show the value of a company - why are they different? In this video, I hope to clarify any confusion between them, using a simple analogy.

Chapters:
0:00 Introduction
1:15 What is the Market Cap?
1:56 How is Enterprise Value Different?
2:22 The House Analogy
5:05 When is Enterprise Value Use