logo

FX.co ★ 7 companies that could reach $1 trillion in market cap

7 companies that could reach $1 trillion in market cap

The 5 companies with a market cap more than $1 trillion, often called the trillion-dollar club, are Alphabet, Amazon, Apple, Microsoft and Tesla. After Elon Musk's automaker shattered the $1 trillion milestone in October, investors have been wondering what other companies will follow suit. Meta Platforms is the most likely contender to join the trillion-dollar club, but there are other companies that could make it big, InvestorPlace's Will Ashforth notes. Let us look at the 7 companies that could reach the $1 trillion mark.

7 companies that could reach $1 trillion in market cap

Nvidia

Nvidia is one of the leading manufacturers of GPUs and system-on-a-chip units. The US company’s market cap is valued at $785 billion, with only $215 billion separating it from the $1 trillion milestone. After excellent financial results in 2021, Nvidia could join the trillion-dollar club in 2022, if it sustains its performance. The development of Nvidia’s Omniverse platform, intended to compete with Meta’s Metaverse, could boost the company in the medium term.

7 companies that could reach $1 trillion in market cap

Berkshire Hathaway

Warren Buffett’s holding company is valued at $619 billion at the moment. Reaching the $1 billion mark would require Berkshire Hathaway to increase its value by more than 50%. Ashforth considers such a breakthrough highly unlikely - the company’s market cap has risen by an average of 12% per year since 2016. However, Berkshire Hathaway could be boosted by one of its latest investments, Paytm. The Indian payment firm attracted $300 million in investments from Buffett’s holding company in 2018.

7 companies that could reach $1 trillion in market cap

Taiwan Semiconductor Manufacturing Co.

TSMC, a Taiwanese chip manufacturer, is the second largest company by market cap in its field. It is valued at over $574 billion. Thanks to rising demand for semiconductors as well as the production of new 4 nm and 3 nm CPUs starting next year, the company could extend its dominance in the chip market and shatter the $1 trillion milestone.

7 companies that could reach $1 trillion in market cap

JPMorgan Chase & Co.

JPMorgan Chase & Co rose in value by 71% over the past year. To get into the trillion-dollar club, the US financial holding company would have to double its current market cap of $466 billion. According to Will Ashworth, the chances of that are slim. However, he notes that rising interest rates and good financial results could help JPMorgan reach the $1 trillion mark.

7 companies that could reach $1 trillion in market cap

Visa

Visa has a market cap of $418 billion. The US financial services corporation increased its revenues by $100 million in the third quarter of 2021, beating market expectations. Visa’s revenues are forecasted to rise by 18% in 2022. The company expects growth in the area of the gig economy, which could have a positive effect on the company’s market cap and help it reach the $1 trillion mark.

7 companies that could reach $1 trillion in market cap

Johnson & Johnson

The US manufacturer of pharmaceuticals and medical devices is valued at more than $413 billion, having the highest market cap in the US healthcare sector. Johnson & Johnson is unlikely to shatter the $1 trillion milestone by 2023, as it would require the company to generate an annual return of 52%. Previously, Johnson & Johnson’s annualized total return was 27% over the past 10 years. However, it could hit $1 trillion in 3-4 years.

7 companies that could reach $1 trillion in market cap

Alibaba

In 2021, Alibaba lost 30% of its value due to the crackdown by the Chinese government. The online retailer’s current market cap is valued at about $330 billion. While the company’s odds of getting to the $1 trillion mark in 2022 are slim, Alibaba’s active consumer base of 1.2 billion people could help it in 2023.



Отидете до списъка със статиите Отворете търговска сметка