Let’s begin by understanding that most of the future $10 trillion companies are those that already have the highest valuations. Even the youngest among these companies have existed for 20 years. The point is that companies valued in the hundreds of billions and trillions take a long time to build: They, therefore, have the best chance of reaching the unthinkable $10 trillion mark first. To provide further context, no firm is currently valued at $5 trillion. Expectations are that the threshold will be reached in 2028. It seems that it could take decades for a company to reach a valuation twice that level. In truth, it could be a company that bursts onto the scene from relative obscurity. Some now-unknown AI companies could certainly fit the mold. But no one knows. Microsoft (MSFT) Microsoft MSFT stock is the second highest-valued equity globally, at $2.35 trillion. It was actually worth $230 billion more at the height of the pandemic tech bubble before losing ground as rate hikes did their work. It’s another one of the future $10 trillion companies.One thing that is noteworthy about Microsoft’s market cap is just how rapidly it has grown of late. Just before the onset of the pandemic, the total value of all outstanding MSFT stock was approximately $1.3 trillion. So it has gained about $1 trillion in value since. That is primarily attributable to the fact that the pandemic put tech on steroids. Money was flowing into these companies at an extraordinary pace that no one could have anticipated. While the pandemic was a massive disaster, it was a boon for tech as everyone was forced inside. Companies like Microsoft were gifted accelerated sales and quantities of data that they couldn’t have otherwise. That acceleration of everything explains how Microsoft has grown so quickly. And now it has AI setting it up for its next growth phase.MSFT Microsoft $313.85 GOOG GOOGL Alphabet $121.64 AAPL Apple $171.84 META Meta Platforms $249.21 NVDA Nvidia $305.38 AMZN Amazon $116.75 TSLA Tesla $182.90
Alphabet (GOOG,GOOGL)
The story of Alphabet’s GOOG stock and its valuation follows a very similar arc to Microsoft’s. The same overarching catalysts apply to Alphabet and the benefits are similar too. Both companies have become much stronger as a result of the pandemic. It’s another one of the future $10 trillion companies.The difference is basically scale. Alphabet gained roughly $500 billion in value and is now valued near $1.6 trillion. The company has suffered in different ways over the past year. Mainly, Google has seen a massive slide as search revenues have declined on persistent economic fears. Companies are spending less on advertising.
Yet it’s very much worth noting that Google must have collected a massively higher amount of data throughout the pandemic due to the search spike. That will be a huge tailwind for a long time to come. Consider also that the company recently released its AI offerings. It is just getting started on its march to $5 trillion and AI could conceivably accelerate that goal much like the pandemic accelerated Alphabet recently.
Apple (AAPL)
Apple AAPL is expected to be the first stock to reach $5 trillion in value. It briefly touched the $3 trillion mark at the apex of the tech boom during the pandemic and was the first to reach that threshold.Now it is worth around $2.75 trillion, roughly doubling since the beginning of the pandemic. Again, the same story: People stuck at home in front of screens was a shot in the arm for Apple.
Current expectations are that Apple will again double in value by 2028 when it is anticipated to cross $5 trillion. Apple reach $1 trillion in 2018 by the way. So if those predictions are accurate it will have multiplied by 10X in value over 10 years. Not too bad. Down the road, it could be one of the future $10 trillion companies.
We know that Apple relies on iPhone sales for the majority of its revenues. Those sales remained somewhat threatened by an economic slowdown in the short term. But Apple’s long-rumored iCar, or Project Titan, could accelerate its growth beyond current expectations.
Meta Platforms (META)
Some of the shine may have rubbed off of Meta Platforms META stock over the pandemic, sure. The Metaverse-focused rebrand has not been a success. In fact, it seems pretty crazy in hindsight. How could a company with access to resources and some of the brightest minds there are, have missed the mark so badly?
I don’t have the answer but I’m still astounded that as inflation rapidly increased to historic levels during the summer of 2021 that the Meta rebrand plowed forward.
Surely the company has a team of economic advisors watching the market as it relates to its prospects. Surely, too, they could see rate hikes coming. That would have meant speculative growth businesses like the metaverse would dry up as credit tightened and speculative lending slowed. Anyway, I digress. It happened and Meta Platforms fell much faster than the other tech giants as a result.Yet, it remains an advertising giant that reached $1 trillion in the pandemic. It can certainly rebound and become better than it ever was.
Nvidia (NVDA)
Nvidia NVDA is the gaming and computer graphics giant that seems to be unstoppable. NVDA stock has been going through a growth spurt since 2016 that is matched by few firms ever.It has only had two down years during that span and has more than doubled in five of six of those positive years. During the sole year it didn’t double, it appreciated by 77%.
Nvidia has become one of the clearest companies benefiting from the emergence of AI. Now that AI has become available through OpenAI and Google there’s been an upsurge in interest. The markets realize how great the opportunity is.
Nvidia has been dominating the AI chip market for several years. So it makes sense then that investor capital is again flowing into NVDA shares. The cynic will say that Nvidia’s AI opportunity simply leads to better graphics. The reality is much greater and Nvidia has pricing power on its side.
Amazon (AMZN)
Amazon AMZN remains the largest eCommerce and retail stock by a wide margin. At $1.2 trillion, it’s worth more than double the next retailer, LVMH Moet Hennessy Louis Vuitton LVMUY.
It’s also the 5th most valuable company globally which is why it’s likely to someday reach $10 trillion. Yet, the E-commerce world is much bigger than the U.S. market Amazon dominates with 40% of the market. Annual online sales in the U.S. are valued at $843 billion annually. In China, the world’s largest eCommerce market, that number stands at $2.78 trillion annually.
The greater differentiator is that in China eCommerce accounts for 52% of retail sales. In the U.S. that number is 19%. That suggests that for Amazon to continue to grow it has to increase digital penetration. That and expand internationally. There’s no reason to believe it’s impossible and Amazon is far more valuable than Alibaba BABA which is the largest Chinese eCommerce firm.
Tesla (TSLA)
Tesla’s TSLA stock has some really amazing growth history backing its shares. Since going public in 2010 it suffered its first down year in 2022. It is up in 2023.2020 saw its value increase by nearly 800%. In 2013 it increased by nearly 400%.It has ballooned from $2.5 billion in value to $570 billion in that period. That’s 235X growth. It’ll need to roughly 20X if it’s ever to reach $10 trillion.
Current estimates as to when Tesla could cross the $5 trillion mark vary wildly. One expects that could realistically happen in 2066 while Cathie Wood predicted Tesla will be there 40 years earlier, in 2026.The truth is more likely somewhere in between. Wood is a known tech bull who has been very incorrect recently in judging the market’s direction. Tesla has already eclipsed the $1 trillion mark back in 2021 when shares peaked above $400. If Tesla can ramp up volume production and gain significant market share in the near future, $2 trillion might not be that far away.
On the date of publication, Alex Sirois did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.comPublishing Guidelines.
Alex Sirois is a freelance contributor to InvestorPlace whose personal stock investing style is focused on long-term, buy-and-hold, wealth-building stock picks.Having worked in several industries from e-commerce to translation to education and utilizing his MBA from George Washington University, he brings a diverse set of skills through which he filters his writing.
More from InvestorPlace
FAQs
7 Stocks That Could Be the First $10 Trillion-Dollar Company? ›
Nvidia is joining the likes of Apple, Microsoft, Alphabet and Amazon with the company briefly reaching a $1 trillion market cap on Tuesday, making it one of only a handful of companies to do so.
Which company will hit $1 trillion? ›Nvidia is joining the likes of Apple, Microsoft, Alphabet and Amazon with the company briefly reaching a $1 trillion market cap on Tuesday, making it one of only a handful of companies to do so.
Which company became the first to reach 1 trillion dollar valuation? ›The world's first company to hit $1 trillion in market value was Chinese oil giant PetroChina, that too sixteen years ago in the year 2007.
Is Nvidia a trillion dollar company? ›Nvidia is worth nearly $1 trillion—here's how much you'd have if you invested a decade ago. A sign is posted in front of the Nvidia headquarters on May 10, 2018 in Santa Clara, California. The recent AI boom briefly launched Nvidia into Wall Street's exclusive trillion dollar club.
Who will be the first $2 trillion dollar company? ›Apple became the world's first $3 trillion company for a brief time during intraday trading on Jan. 3, 2022. The iPhone maker also holds the distinction of being the world's first company to reach $1 trillion and $2 trillion.
How much is Nvidia worth in billion? ›That gives Nvidia's stock a value of “just” $992 billion or so, taking it out of the $1 trillion club, for now. The last quarterly earnings report from Nvidia noted over $2 billion in profit in three months.
What company became the first $1 billion corporation? ›United States Steel Corporation (NYSE:X) was the world's first company to surpass the market capitalization mark of $1 billion dollars.
What companies will be a trillion-dollar company in 2030? ›With only five companies worldwide currently valued above $1 trillion, it's an exclusive club few can ever hope to reach. However, three stocks are knocking on the door and could reach $1 trillion by 2030: Nvidia (NVDA -0.80%), Tesla (TSLA -0.35%), and Meta Platforms (META 3.10%).
Who was the first trillionaire in history? ›1. Genghis Khan. Genghis Khan one of the most fearsome conquerors of all time, and by the end of his life the Mongol Empire occupied a vast empire from Central Asia to China. Much of the wealth came from plunders, taxes and control of caravan routes along the Silk Road and provide the Mongols with valuable revenue.
Does Warren Buffett own NVIDIA? ›Nvidia. The third surprising stock you'd never have guessed Warren Buffett owns is graphics card and semiconductor solutions specialist Nvidia (NVDA 1.25%).
Who owns the most NVIDIA stock? ›
Who owns Nvidia? Nvidia (NASDAQ: NVDA) is owned by 64.04% institutional shareholders, 4.44% Nvidia insiders, and 31.52% retail investors. Jen Hsun Huang is the largest individual Nvidia shareholder, owning 95.11M shares representing 3.85% of the company. Jen Hsun Huang's Nvidia shares are currently valued at $40.61B.
Who are the biggest holders of NVIDIA stock? ›The top individual shareholders of Nvidia are Jen-Hsun ("Jensen") Huang, Colette M. Kress, and Mark A. Stevens, and the top institutional shareholders are Vanguard Group Inc., BlackRock Inc. (BLK), and FMR LLC.
Is Apple really worth $2 trillion? ›Apple first surpassed $2 trillion in market capitalization in August 2020, as consumers flocked to its devices amidst the COVID pandemic. The Cupertino-based company even briefly reached a market capitalization of $3 trillion on Jan. 3, 2022, almost exactly a year ago.
What was the first company to hit $3 trillion? ›Apple, the computer company that started in a California garage in 1976, is now worth $3 trillion.
What company is worth $3 trillion? ›On the first trading day of 2022, Apple marked a new milestone: it became the first U.S. company to reach a market value of $3 trillion. Apple's shares briefly touched a record $182.88 per share in Monday's trading.
How much will NVIDIA stock be worth in 10 years? ›Key Points. Nvidia's sales have multiplied impressively in the past decade thanks to the growing applications of its graphics cards. Nvidia could get close to a $3 trillion valuation over the next 10 years based on its robust market share and emerging catalysts.
How high will NVIDIA get? ›Stock Price Forecast
The 45 analysts offering 12-month price forecasts for NVIDIA Corp have a median target of 460.00, with a high estimate of 600.00 and a low estimate of 175.00. The median estimate represents a +7.74% increase from the last price of 426.97.
We have compiled a list of solutions that reviewers voted as the best overall alternatives and competitors to Nvidia Virtual GPU, including Azure Virtual Machines, Microsoft System Center, Google Compute Engine, and VirtualBox.
What was the first American business to be worth more than $1 billion? ›In 1901, U.S. Steel was the first to reach three-comma status, hitting $1.4 billion when it went public. Charles Schwab led the company as president, and J.P. Morgan financed the deal.
What is the first richest company? ›Saudi Aramco is a state-owned petroleum and natural gas company based in Saudi Arabia. It is the largest company in the world by revenue and is a major player in the global energy industry.
What is the first $1 trillion dollar company in the world? ›
Which was the First Trillion-Dollar Company? PetroChina was the first trillion-dollar company in the world. On its first day of trading on the Shanghai Stock Exchange on November 5, 2007, it reached a market capitalization of $1 trillion. However, the corporation only held the level for a short time.
What will be the biggest stock in 2030? ›- Visa. ...
- Alphabet. ...
- Salesforce. ...
- Amazon. ...
- PayPal Holdings. ...
- Microsoft. ...
- Chevron. ...
- Meta Platforms. Lastly, social media stock Meta Platforms (META 3.10%), the company formerly known as Facebook, should find itself as one of the 10 largest stocks in 2030.
With a market capitalization of 2.75 trillion U.S. dollars as of May 2023, Apple was the world's largest company that year. Rounding out the top five were some of the world's most recognizable brands: Microsoft, Saudi Arabian Oil Company (Saudi Aramco), Google's parent company Alphabet, and Amazon.
Who was the richest human being in history? ›The richest person ever is thought to have been an emperor with an accumulation of wealth often described as “unimaginable” or “incalculable.” The title goes to 14th-century African emperor Mansa Musa, and his wealth has been estimated to be the modern day equivalent of $400 billion.
Who is the richest person who ever existed? ›African emperor Mansa Musa is thought to be the richest person who ever lived and his wealth was simply “indescribable” and “incomprehensible”. Elon Musk, Jeff Bezos, Bill Gates, Gautam Adani are some of the names that come to our minds when we think of the richest people in the world.
Who were the richest man of all time? ›His name is Mansa Musa and he was emperor of Mali, with his empire occupying a vast territory that spread from Nigeria to the coast of Senegal. According to Celebrity Net Worth magazine, Mansa Musa's wealth would be the largest in the history of mankind, if adjusted for current inflation.
What AI company did Warren Buffett invest in? ›It shouldn't come as a surprise that Berkshire's biggest bet on AI comes courtesy of Apple (AAPL -0.59%). When combined with the shares held by Berkshire's wholly owned subsidiary New England Asset Management, Buffett's stake in Apple amounts to more than 915 million shares, worth an eye-popping $164 billion.
Who is NVIDIA owned by? ›Jensen Huang founded NVIDIA in 1993 and has served since its inception as president, chief executive officer and a member of the board of directors. Starting out in PC graphics, NVIDIA helped build the gaming market into the largest entertainment industry in the world today.
Is NVIDIA in debt? ›Total debt on the balance sheet as of January 2023 : $12.03 B. According to NVIDIA's latest financial reports the company's total debt is $12.03 B. A company's total debt is the sum of all current and non-current debts.
Which Vanguard funds own a NVIDIA stock? ›Vanguard Group
Vanguard's funds include the Vanguard S&P 500 ETF (VOO), Vanguard Information Technology ETF (VGT), and Vanguard Total Stock Market ETF (VTI). Vanguard holds NVIDIA shares as part of its market capitalisation-weighted index strategies.
How much of NVIDIA does BlackRock own? ›
NVIDIA is not owned by hedge funds. Looking at our data, we can see that the largest shareholder is The Vanguard Group, Inc. with 8.3% of shares outstanding. BlackRock, Inc. is the second largest shareholder owning 7.3% of common stock, and FMR LLC holds about 5.3% of the company stock.
Who owns Intel stock? ›Intel Corp (NASDAQ:INTC)
Institutional investors hold a majority ownership of INTC through the 64.22% of the outstanding shares that they control. This interest is also higher than at almost any other company in the Semiconductors industry.
- Rank Shareholder Number of shares Ownership percentage.
- 1 Holmen Spesialfond 7 550 054 7.23%
- 2 T.D. Veen 6 146 946 5.89%
- 3 Bjøberg Eiendom AS 4 025 775 3.86%
- 4 Pexip Holding ASA 3 026 246 2.90%
- 5 J.P. Morgan Securities PLC 2 622 344 2.51%
- 6 Avanza Bank AB 2 344 810 2.25%
There are 391 ETFs which contain NVIDIA CORP. All of these ETFs are listed in the table below. The ETF with the largest weighting of NVIDIA CORP is the VanEck Semiconductor UCITS ETF.
What is the outstanding shares for NVIDIA? ›Number of shares outstanding as of June 2023 : 2,464,000,000
According to NVIDIA's latest financial reports and stock price the company's current number of shares outstanding is 2,464,000,000. At the end of 2023 the company had 2,464,000,000 shares outstanding.
Today, there are no known trillionaires in the world. But there are more billionaires than ever before and a handful of companies with a trillion-dollar market cap.
Is Nvidia a billion dollar company? ›Nvidia joins the $1 trillion club, fueled by AI, CNN Business.
How many billion dollar companies exist? ›In the entire US, there are just 135 private companies that are valued at over a billion dollars or more. Of those, only ten became so-called unicorns in less than three years, setting the speed record for all the rest.
How many billions are in a trillion? ›One trillion equals a thousand billions, or million millions. 1 trillion consists of 1 followed by 12 zeros, that is, 1, 000, 000,000, 000 and can be written as \(10^{12} \) (ten to the twelfth power). It takes about 32,000 years to finish 1 trillion seconds.
Who is the No 1 richest person in world? ›Who is the richest man in the world? As of June 1, 2023, the richest man in the world is Bernard Arnault, the CEO and chairman of LVMH of France; he's worth $215 billion. He moved into the number one spot after Elon Musk's fortune fell in late 2022 as shares of electric carmaker Tesla fell.
Who is the richest family in the world? ›
Walton Family
The Walton family knows its way around some retail revenue. Its namesake, mega-retailer Walmart, has an estimated global revenue of $611.3 billion. As the family owns nearly half of the company, they should be quite comfortable for generations to come.
Bernard Arnault will reach trillionaire status at age 72 in 2029, 5 years after Elon Musk. Arnault is the chairman and chief executive of the world's largest luxury goods company, Moët Hennessy Louis Vuitton (LVMH).
How many unicorns are in the US? ›The United States economy has at least 1,205 'unicorns' - privately held startups valued at over $1billion - but that number may be in jeopardy as the possibility of a major recession looms.
Who owns the most stocks in the world? ›'Billionaire Stocks': Bill Gates, Berkshire Hathaway (BRK.B)
The natural stock pick held by the world's wealthiest person is Microsoft (NASDAQ:MSFT), the giant tech company Bill Gates co-founded with Paul Allen in 1975. Gates still owns almost 103 million shares of the company worth $15.4 billion.
The Biggest Companies in the United States by Market Capitalization (March 24, 2023) As of March 23, 2023, with its market capitalization of $2,514 billion, APPLE INC. is the most valuable company in the United States, according to the CEOWORLD magazine, a list of the world's biggest companies by market cap.
What would $1 trillion look like? ›It's a thousand billion. It's a one followed by 12 zeros.
What is this number 1000000000000000000000000? ›The number 1000000000000000000000000 is called a quintillion. In the long scale system of naming numbers, a quintillion is equal to 10^18 or a million billion. In the short scale system, which is commonly used in the United States, a quintillion is equal to 10^15 or a billion billion.
How tall is a stack of 1 trillion dollars in $100 dollar bills? ›If you stacked $100 bills totaling $1 trillion on top of each other, the stack would be 631 miles high. This is what $1 trillion in spending look like. Kathy Hess and 65 others like this.