Intelligent CIO LATAM Issue 40 | Page 25

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BestBrokers race to $ 4 trillion report : Key takeaways
As of August 2024 , only seven publicly traded companies boast market capitalisations of $ 1 trillion or more . Except for Saudi Aramco , all are USbased firms operating in the technology sector .
• The projects suggest that Nvidia , currently valued at $ 2.781 trillion , is on track to be the first to reach a $ 4 trillion market cap . If its market cap continues to grow at the recent average rate of 104.25 %, Nvidia is expected to hit this milestone in approximately six months and three days , by late January 2025 .
• Microsoft , with a current market cap of $ 3.16 trillion ($ 379 billion more than Nvidia ) and an average annual growth rate of 13.44 %, is anticipated to be the second company to reach a $ 4 trillion valuation by mid-2026 .
• Apple , worth $ 3.342 trillion as of the time of writing , is likely to follow , assuming it maintains a similar growth trajectory . Meta Platforms ( META ), formerly known as Facebook , is also making significant strides with an average annual growth rate of 49.63 % and is forecasted to achieve a 4 trillion-dollar status even before Amazon .
• Google , with a market cap of $ 2.065 trillion and an average annual growth rate of 10.23 %, is expected to be the last to reach the $ 4 trillion mark by mid-2031 . Amazon , on the other hand , is expected to hit this valuation about three years earlier .
Methodology
The team at BestBrokers looked at the 50 most valuable global companies as of July 29 , 2024 , sourced from CompaniesMarketCap . com .
They calculated how much each company ’ s market capitalisation has increased on а year-over-year basis between 2022 and July 2024 and took the average of these percentages .
– $ 379 billion more than Nvidia – and an average annual growth rate of 13.44 %, Microsoft is expected to achieve this milestone by mid-2026 with Apple likely the next to follow should its growth continue at a similar pace , while Meta Platforms ( META ), better known by its former name , Facebook , is projected to hit the $ 4 trillion milestone by early August 2027 .
The team then applied this average growth rate to every firm ’ s market capitalisation as of the time of preparing the report . This allowed them to project the approximate time it will take for each company to reach a market value of $ 1 trillion or more – starting from the date at the time of writing .
Google , with a market cap of $ 2.065 trillion and an average annual growth rate of 10.23 %, is anticipated to be the last to reach $ 4 trillion , likely by early May 2031 . p
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