There are no certainties in the world other than death and taxes.
… As the pithy saying goes. However, investors bullish on some growth stocks might dispute that claim. If anything, the stocks that comprise the elite trillion-dollar club are ones they reasonably swear by. Especially because a market capitalisation with four commas indicates strong business fundamentals and sustainable growth. Perhaps, even making them too big to fail. No absolute certainties here. Yet, these elite trillion-dollar growth stocks are considered especially lucrative by new investors and seasoned veterans alike. (Caution, this is not investment advice.)
Chances are, you’ve already heard of these companies. In fact, some of them may be quite entrenched in your day-to-day existence. Let’s take a closer look at the companies that are a part of the elite trillion-dollar club, as well as the ones waiting in the wings to cross the threshold of a $ 1 trillion market capitalization.
Which companies are a part of the elite $1 trillion club?
(figures: market cap in billions USD, as of April 16, 2021 | source: Statista)
It wasn’t until August 2018 that the first US company breached the barrier of a trillion-dollar market cap. That was Apple. As of May 2021 it still holds the top position in the club. However, it wasn’t the first in the world. Globally the first to cross this mark was the Chinese company PetroChina in the year 2007. Following Apple, Microsoft, Alphabet (Google), Amazon, Facebook, and Tesla have all passed through this lofty gate.
In September 2018, Amazon secured its place in the elite club but soon lost its position. However, with the COVID-19 pandemic amplifying the growing trend of online shopping, it didn’t take the company much time to reenter the club. Similarly, Facebook and Tesla too have joined the club at some point, only to dip below the trillion-dollar mark later. Tesla inched above the mark on October 25th 2021 following the news of the carmaker receiving the largest order in its history from Hertz. Facebook as well, could regain its positions in the club in the near future. Apart from the tech giants, the club also includes Saudi Aramco, its only non-US member today.
Which companies are the next in line to enter elite $1 trillion club?
(figures: market cap in billions USD, as of April 16, 2021 | source: Statista)
Going purely by market cap, the Chinese companies Tencent and Alibaba along with Warren Buffet’s Berkshire Hathaway and Taiwan Semiconductor are potentially the next ones likely to enter the club for the first time. Facebook (Meta) and Tesla have of course been there before. Visa and Nvidia, although much lower in the list by market cap, are on growth trajectories that make them promising outliers to enter the club
How to invest in these expensive trillion-dollar stocks?
Trillion-dollar stocks do sell at high-dollar prices per share. Yet, investors rarely hesitate to pour their money into such high-value growth stocks. For example, to own a single share of Amazon, one would have to shell out over $3600 today. And, as for Berkshire Hathway, a jaw-dropping figure upwards of $427,000 for a single share!
For a retail investor in India, investing in such expensive stocks may seem beyond imagination. And the concern only compounds when you account for the conversion from USD to INR. Well, you no longer need to miss out on these high-value stocks. Investing through Fractions on Appreciate lets you own a piece of the growth pie of any of these high-value stocks for any amount of your choosing. Even INR 1!
Investing in global trillion-dollar stocks, not only enhances your portfolio’s overall value but also helps you diversify, as well as mitigate risk over the long term. Download the Appreciate app today, reap the benefits of global investing, and watch your portfolio Appreciate!
