Forbes recently released its list of the top 10 most valuable businesses, and this year’s top-ranked companies were mostly American. In particular, Apple Inc., a Cupertino-based technology company, dominates the list. With a record market cap of $2.752 trillion, Apple is one of the most valuable businesses on the planet. The company is projected to generate $275 billion in revenue by 2021. Founded by Steve Wozniak, Steve Jobs, and Ronald Wayne, Apple is the world’s most popular brand.
Coca-Cola
Coca-Cola Company is one of the world’s most valuable businesses. Founded in 1886, it brings in over $8 billion in net profit annually. The company was initially known as a brain tonic. Today, Coca-Cola has a diverse product portfolio that includes Fanta, Sprite, Diet Coke, Schweppes, and more. It is worth approximately $57 billion. Its headquarters are in Atlanta, Georgia, USA.
The Coca-Cola Company has been around for 127 years and is the world’s largest soda company, with products sold in 200 countries. The company’s recent rise has been due in part to an increase in the company’s Diet Coke brand, which has been revived by a number of successful marketing campaigns. However, Coca-Cola has also faced many challenges since 2004, including declining sales in the US. Health-conscious consumers and governments imposing taxes on sugar-filled products have all contributed to this decline.
Nvidia
While Nvidia has a long history of producing cutting-edge graphics processing units, it has recently turned its attention to building a more humane organization. CEO Jensen Huang announced that the company will give its employees a Christmas week off in 2021. The company also offers generous employee stock-purchase programs. The company has also prioritized pay parity since 2015. The company’s gender pay gap has widened as it’s made acquisitions. Promotion rates have also decreased in relation to 2020.
The company’s gross margin is high, at 64 percent. This is significantly higher than its closest competitors, such as AMD, Intel, and Qualcomm, which all boast margins in the mid-forties. Higher margins mean more predictability for investors, which could explain why Nvidia has a market cap of $1 trillion. However, investors should be aware that this company faces several headwinds.
Saudi Aramco
While oil prices have plummeted in recent years, the company has remained one of the world’s most valuable businesses. Despite a bleak outlook, Saudi Aramco’s profits have continued to climb, thanks in part to the oil price explosion. Despite the oil price surge, the company has also remained secretive, preventing the world’s investors from knowing what it’s doing with its money. As a result, the company has been able to keep investors guessing for years.
The IPO was an important part of Crown Prince Mohammed bin Salman’s plan to modernize Saudi Arabia’s economy. While the Saudi government had looked into filing an IPO in London and New York, the risks associated with doing so were too high, and it ultimately opted to list its oil company domestically. Despite this setback, the company was able to secure early trading days in the United States and Europe. The company was managed by Samba Capital, an investment firm that has helped Saudi Aramco become one of the world’s 10 most valuable businesses.
Microsoft
It is no surprise that Microsoft is one of the world’s most valuable businesses. Its market capitalization has reached over $2 trillion for the first time. The company has grown rapidly since reaching $1 trillion on April 25, 2019 – the year the stock topped the mark. Despite the recent market decline, Microsoft has managed to maintain its position as one of the most valuable businesses, with revenue growing at 22% year over year and its annual operating margin breaking the 40 percent mark for the first time since 2001.
Microsoft’s success is due to its ability to focus on the needs of customers. For decades, tech companies focused on revenue and profit. That focus was damaging for the company, as well as poorly considered acquisitions like Nokia and Yahoo. In the last decade, however, Microsoft has begun to pivot toward the needs of its customers, and has coalesced its strategy around the notion of customer loyalty. While it is still far from being a perfect example, the company is a good example for other businesses to emulate.
Adani Green Energy
In an attempt to meet increasing global demand for renewable energy, India’s largest private power producer, Adani Green Energy Limited, has recently completed a $2 billion investment in three of its portfolio companies. These companies are Adani Green Energy, Adani Transmission, and Adani Enterprises. Adani Green Energy is the renewable energy arm of the Adani Group and is headquartered in Ahmedabad. Its projects include solar, wind, and hybrid power plants that are currently under development in India.
The company is a key customer for solar and wind energy producers, including the state-owned National Thermal Power Corporation. The list of other companies ahead of Adani Green includes Reliance Industries, TCS, HDFC Bank, Infosys, and Hindustan Unilever. These companies represent a total market cap of $214 billion, according to Bloomberg. The Adani Group also has an impressive portfolio of infrastructure assets, including coal and oil pipelines.
Tesla
Tesla’s shares soared on Tuesday after the company reported better-than-expected sales and announced it would begin production in Shanghai sooner than planned. The stock’s rapid rise was a disaster for short-sellers who lost about $7 billion. However, it’s easy to see why investors are bullish on Tesla. The company has a vision that rival companies don’t share. With an estimated market cap of $544 billion, Tesla will be one of the top 10 most valuable businesses by value.
The value of a business is measured by how it spreads its brand across various market segments. Tesla, for instance, is an automotive maker that also has its own network of charging stations (like gas stations) to generate revenue. The company has even branched out into power storage and solar markets, and Musk has expressed interest in HVAC appliances. While these segments are still in their early stages, it’s already one of the world’s largest companies.