The Trillion Dollar Club is a group of business giants with an annual revenue higher than $1 trillion. The world is a competitive place, and as such, many trillion-dollar companies have risen to prominence. In the last couple of years, we have seen many companies surpass $1 trillion in value. With the increase, we must know how many of these titans exist today in our global economy.
Which is the First Trillion-Dollar Company?
List of World's Trillion-Dollar Companies
Which Companies Are Next to Join the Trillion Dollar Club?
FAQ
Which is the First Trillion-Dollar Company?
PetroChina was the first company on the planet to reach a $1 trillion market capitalization. In 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.
The first trillion-dollar US company was Apple, which hit that level on 4 August 2018. Since then, five other companies have joined the club: Amazon, Microsoft, Saudi Aramco, Alphabet, and Tesla. The Saudi Arabian company Saudi Aramco made the list of top global corporations. This makes it one out of six companies with a trillion-dollar market value—a notable exception in an otherwise primarily American dominated leaderboard.
Damini Bhandary
List of World's Trillion-Dollar Companies
1. Apple
Valuation - $3 trillion
Country - U.S.
Founded - 1976
Apple surprised a few and became the first company to hit $1 trillion. By 2018, it had already been listed among Fortune's World's Most Powerful 50 companies for several years running; but that didn't last long as Apple sunk below $800 billion by 2019, thanks in part due to the US stock market, which has plagued many American enterprises over that past year. However, the stock rose in 2019, and the company's market capitalization reached $1.3 trillion in early December.
To put that sum in perspective, Apple's market capitalization is slightly lower than the GDP of Australia ($1.4 trillion) and somewhat higher than Mexico($1.2 trillion).
The company became the first one in the United States to reach a valuation of $2 trillion on August 19, 2020; on Jan. 3, 2022, Apple became the first U.S company to reach $3 trillion.
2. Amazon
Valuation - $1.68 trillion
Country - U.S.
Founded - 1994
Amazon hit $1 trillion a month to the day after Apple, but it was also severely affected by the 2018 market slump. Though, it only took them until January 2020 when they surpassed analyst expectations with their earnings and revealed that Amazon has 150 million members in its Prime subscription service.
Amazon's growth in value has been exponential over the past few years, reaching a new milestone last month when it became clear that former CEO Jeff Bezos's net worth would soon surpass $100 billion.
This is all thanks to his company's success which owes much of its achievements towards unparalleled customer service and an ever-growing catalogue with products from nearly every genre imaginable.
3. Microsoft
Valuation - $2.31 trillion
Country - U.S.
Founded - 1975
In 2018, Microsoft became the world's most valuable company. The success continued into 2019, with experiencing an incredible year that saw them add $950 billion onto their market caps together.
During the last half of 2020, Microsoft became one of only three companies in the world worth more than $1 trillion. Much like its competitors, Amazon and Google, who also saw great success with their cloud computing services, Azure helped fuel much faster growth rates for them as well.
4. Saudi Aramco
Valuation - $2 trillion
Country - Saudi Arabia
Founded - 1933
The world's most profitable company broke two records on its first day of trading; the company hit the trillion-dollar mark on its very first day of trading, making it the biggest IPO in history. Aramco's second record-breaking performance came the next day when its market value soared yet again past $2 trillion.
Saudi Aramco is the only company in this club with a listing outside the US. It's currently traded on Saudi Arabia's stock exchange, making shares next to impossible for non-institutional investors who would like to invest in this lucrative market opportunity.
5. Alphabet
Valuation - $1.84 trillion
Country - U.S.
Founded - 1998
Alphabet, the parent company of Google, became the fourth US tech company to reach the four-comma club in January 2020. Shortly after, Amazon regained its one-trillion-dollar market cap — the first time that four US tech stocks had reached that level at the same time.
6. Tesla
Valuation - $1.01 trillion
Country - U.S.
Founded - 2003
Due to a successful trading day on Monday, October 25th 2021, Tesla's market cap surpassed $1 trillion for the first time. Following the announcement of some exciting news from Hertz and Morgan Stanley, their stock jumped 10%.
First, Hertz, a car rental firm, announced an ordering for 100,000 Tesla vehicles, the automaker's most significant order yet. Second, a Morgan Stanley auto analyst revised his forecast and boosted his price estimate for Tesla to $1,200.
Which Companies Are Next to Join the Trillion Dollar Club?
Warren Buffet's Berkshire Hathaway comes the closest to joining the Four Comma Club after Facebook (Now Meta), a member of the elite trillion-dollar club until recently. Even so, there's still a long way to go.
Visa has been around for 63 years, and it's still trying new things. They're always looking at how they can expand their reach by either investing in companies or acquiring them outright. Still, even this seemingly conservative strategy seems to be working out well- recently, there have been some successes with cryptocurrency investments.
Although Facebook, Berkshire Hathaway, and Visa are in the lead, this is not a guarantee that they will win the race to become the world's following trillion-dollar companies.
Arbaz Sayed
Conclusion
The planet is quickly becoming a country with trillion-dollar companies. Currently, there are only six companies that have reached $1 trillion in value on the planet, and it's estimated that this number will more than double within three years.
The company to become the next trillion-dollar juggernaut is set for greatness. It doesn't matter which industry it comes from, or where from whichever business gets their name on this list will have big shoes to fill because if history tells us anything at all, it's not easy to reach that level and not to mention maintain it.
FAQ
How many trillion-dollar businesses are there?
As of 2021, there are 6 trillion-dollar companies, Amazon, Microsoft, Tesla, Saudi Aramco, Microsoft, and Alphabet.
Is Tesla a trillion-dollar company?
No, Tesla is no longer a trillion-dollar company, its current valuation is $942.36 Billion as of 2021.
Which was the first trillion-dollar company?
PetroChina was the first company to reach a $1 trillion market value.
Source :- https://startuptalky.com/ Author :- Stuti Shree Date :- February 05, 2022 at 05:05PM