Question of the Day: Can you name the 4 companies worth over $1 trillion in market value (as of 2/21/20)?

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Feb 25, 2020
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Question of the Day, Investing, Stocks

Answer:

Market Capitalization (as of 2/21/20) 

  • Apple - $1.37 trillion
  • Microsoft - $1.36 trillion
  • Amazon - $1.04 trillion
  • Alphabet (Google's parent) - $1.02 trillion

Market capitalization - valuation of a company calculated by multiplying the current stock price by the number of shares outstanding for that specific company. 

Questions:

  • How many of these company's products do you use? 
    • Calculate the percentage of students in your class who use each of the company’s products.  
    • Did you know that Amazon's most profitable business is Amazon Web Services which hosts popular websites such as Netflix and ESPN? 
  • Why do you think they are so valuable? What makes a company valuable to investors (hint: G R _ _ T H)
  • Which of the four companies do you think will be most valuable in 5 years? Why? 

Click here for the ready-to-go slides for this Question of the Day that you can use in your classroom.

Behind the numbers (CNBC):

"Whether at home or in the workplace, the same companies are surrounding us like never before, capturing our attention and increasing amounts of spending from businesses, consumers and advertisers. With all that momentum, investors are mostly shrugging off news of probes by the Department of Justice, Federal Trade Commission and state law enforcement into the potential anti-competitive practices of Big Tech..."

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Want to see how these companies compare with other companies in the S&P 500? This activity, Interactive: What is the S&P 500? is a student favorite and provides a great visualization of this index. 

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Here's a fun interactive which will make you nostalgic for the days of dial-up internet service, "What tech world did you grow up in?"

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 Looking for more Questions of the Day, be sure to check out the QoD Library here or better yet, subscribe and get it sent to your inbox every morning. 

About the Author

Tim Ranzetta

Tim's saving habits started at seven when a neighbor with a broken hip gave him a dog walking job. Her recovery, which took almost a year, resulted in Tim getting to know the bank tellers quite well (and accumulating a savings account balance of over $300!). His recent entrepreneurial adventures have included driving a shredding truck, analyzing executive compensation packages for Fortune 500 companies and helping families make better college financing decisions. After volunteering in 2010 to create and teach a personal finance program at Eastside College Prep in East Palo Alto, Tim saw firsthand the impact of an engaging and activity-based curriculum, which inspired him to start a new non-profit, Next Gen Personal Finance.