This year it is very likely that for the first time in the world, a public company will reach $ 1 trillion worth. However, it is still unclear which company will get this title.
Though Microsoft, Google, Facebook and even Tesla are mentioned, the strongest candidates are Amazon and Amazon, the US technology giants.
Apple closest to the target
At the end of last year, Apple launched the $ 1000 new phone, the iPhone X, with $ 900 billion worth of near-market value, the world’s most valuable publicly traded company and the closest to the $ 1 trillion target.
For Apple to reach $ 1 trillion, a 13 percent increase in its stock would be sufficient.
Apple’s stocks, which started a massive revolution with smartphone technology, rose 45 percent in 2017, but stayed flat in September, especially after the introduction of the iPhone X.
The fact that the iPhone X is much more expensive than anticipated, and that it does not bring about a major improvement over previous models, has caused doubts about the sales performance of the phone.
Those who advocate Apple’s transformation into a company that pioneers innovations in consumer technology are trying to protect its position against falling market share, predicts that the market value of the company may not grow as fast as it did before.
Amazon’s rapid rise
In terms of market value, Amazon is not even in the top three. But many investment experts and industry executives, especially investment banker Morgan Stanley, say Amazon may be the first company to reach a market value of $ 1 trillion.
Amazon, whose shares rose 58 percent in 2017, has a market value of $ 572 billion. So the company closest to the target is $ 312 billion behind Apple.
In order for Amazon to reach a market value of $ 1 trillion in 2018, a premium of 75 percent is required.
According to Morgan Stanley, this is highly possible.
According to the investment bank, Amazon started its business by selling books online:
Engaging new services with excessively high profit margins
Making more than half of online shopping in USA from Amazon platform
Provides regular cash flow thanks to Prime subscription
Increase ad revenue
Scott Galloway, who is on the list of bestsellers in the US, may also be Amazon’s first company to reach a market value of $ 1 trillion, according to Quartet: Amazon, Apple, Facebook and Google’s secret DNA book.
In an interview with Forbes magazine last November, Galloway said, “Amazon offers what everybody is looking for without exception: cheaper more. Consumers are getting a commission on every platform and on the platform that offers the best price on the world. ”
Despite everything, however, Amazon needs a better performance than the 60 percent rise in 2017 for the $ 1 trillion race, as well as a horizontal quest in Apple’s stocks.
Although the race between public companies continues, it is worth remembering that the world’s most valuable company is not Amazon or Apple, and that it is not even possible to earn that title for many years.
It is estimated that the market value of Saudi Arabia’s oil company Aramco, which is not yet open to the public, is over $ 2 trillion.