Market capitalization shows the total value of the shares of the company and evaluates the standing of the company. The companies who have managed to maintain a high market cap in the last year by making significant developments are presented here; below are the top 10 gainers in the market in 2020.
Microsoft (United States)
Microsoft has been a leader with a stellar performance amidst the pandemic. The dynamics of the global crisis led to increased use of digital platforms for video conferencing, gaming, and cloud-based technologies.
The company’s foresight of migrating to cloud technologies by education institutes, hospitals, governments, corporates, etc. has been advantageous.
As per the financial report of the company the cloud technologies outperformed by exceeding surpassed $50 billion in revenue —up 36 percent year-over-year for the first time. The revenue for the year stood at $143 billion, with operating income of, $53 billion, over $60 billion in operating cash flow and lastly $35 billion was offered back to shareholders. The company came up with an advanced version to help the remote working with Microsoft 365 Apps and services, Surface Go 2 (LTE), new Surface Laptop Go, and upgraded Surface Pro X.
Apple (United States)
Apple has recorded an increase in the net sales of $274.52 billion from $260.17 billion in 2019. The September quarter reported revenue of $64.7 billion. The company’s innovation drives the growth in business and revenue. The class-apart products with incredible features: iPhone, Apple Watch, the Mac computer and, iPad have revolutionized success in commercial developments.
Although the pandemic had devastating effects on many companies Apple remained as the largest market cap tech company $1,285.5 billion. The company mentions few reasons like diversifying revenue streams, subscription-based business, using reserves, agile business as techniques to survive the pandemic.
Products launched in 2020:-March – iPad Pro, Magic Keyboard, MacBook Air, Mac mini, Powerbeats, April – iPhone SE, May – 13-inch MacBook Pro, June – Apple Silicon chip plans, iOS 14, macOS Big Sur, iPadOS 14, iPadOS 14, watchOS 7, tvOS 14, August – 27-inch iMac, September – Apple Watch Series 6, – Apple Watch SE, iPad Air, eighth-generation iPad, October – iPhone 12 and 12 mini, iPhone 12 Pro and 12 Pro Max, HomePod mini, MagSafe, November – M1 MacBook Air, M1 MacBook Pro, M1 Mac mini, macOS Big Sur, December -AirPods Max Apple Fitness+
Amazon (United States)
Amazon’s skyrocketing annual revenue was up 38% to $386 billion, with a yearly increase of more than $100 billion. The success of the company largely inclined to digitalization. The company’s innovation on customer-centric business model pioneering customer reviews, fast delivery, personalized recommendations, Alexa, cloud platforms, Kindle, and other inventions accelerated the growth of the company.
The enormous cloud platform AWS made unbelievable profits as it soared with annual AWS revenue of $45.3 billion, up nearly 30% year-over-year. The annual operating profit was above $13.5 billion. The company’s market cap of $1,233.4 billion sports high records in the pandemic.
The company introduced cutting-edge technological products with enhanced features in – smart Speaker (Echo, Echo Dot, Echo Dot with Clock, Echo Dot for Kids) Smart Display (Echo Show 10 ) – Smart Home (Fire TV Stick, Fire TV Stick Lite, eero 6, eero Pro 6, Ring Car Alarm, Ring Car Cam, Ring Always Home Cam), and Gaming categories (Luna Game Controller).
Alphabet (United States)
The internet giant Google exceeded expectations in the pandemic with a surging revenue of $181.69 billion. The company gained profits mainly from the advertising revenue that was $146.9 billion. With a market capitalization of $741 billion, the company ranked fourth in the global internet companies.
The biggest search engine reported the highest earnings without getting overshadowed by the economic slump. It considered the new habits of customers and enhanced the customer experience to overcome the financial downturn. The new launches in 2020 were Pixel 5 and Pixel 4a 5G phones, the Chromecast with Google TV, and the Nest Audio speaker. Google’s revenue surged due to the cloud adoption by many businesses. It saw a rapid spike of around 46% in the first quarter itself. With the ongoing customer need, the cloud services earned $13.1 billion in revenue in 2020.
Facebook (United States)
With digital advertising as the primary source of income the social media giant earned nearly $86 billion which grew from the last fiscal year from $70.7 billion. With the virus outbreak, everyone stayed home and used social media as a tool to enhance businesses.
Facebook’s average revenue per user was $32.03 from 2012 to 2020. The company saw an increase in daily active users, monthly active users, daily active people, and monthly active people by 1.84 billion, 2.80 billion, 2.60 billion, and 3.30 billion respectively.
During the pandemic, online advertising boomed and Facebook’s core earning accelerated the e-commerce transformation from offline to online. To help the businesses the company launched a feature called – Facebook shops it simplifies buying and selling through the app.
Alibaba (China)
Alibaba group had a surge in revenue because of the high demand in the eCommerce platform. The company saw a 30% spike in revenue. The company reported total revenue in the fourth quarter of 2020tah crossed $34.37 billion. The businesses comprise, cloud computing, core commerce, innovation initiatives, digital media entertainment, and more.
The market cap of Alibaba group increased from 2019 to 2020 from (472,009 Mil) to Mar. 2020 ($522,471 Mil). The company initiated the program “Digitisation Sprint” which was to help small-scale enterprises to use the eCommerce platform and improve businesses. Due to the pandemic, the company felt the need for manufacturers to use the online marketplace with which it saw an increase of 42% of respondents.
Tencent Holdings (China)
The China-based Internet Company Tencent has outdone in the last year with amazing revenue and year-on-year growth in the year 2020. The revenue surged to $73.9 billion and year-on-year growth was 28%. Tencent holdings have a remarkable market valuation and are the largest internet company in china. The company grew at a great pace starting from the free PC-based messaging platform OICQ, then renamed QQ.
The famous messaging and video sharing app – WeChat brings more than 1 billion active users every month. The company however made the highest profits through online games $24.25 billion. The company’s revenue boosted at a rapid pace with a spike of sales at 29% just in the first quarter.
Berkshire Hathaway (United States)
In the year 2020 Berkshire earned $45.2 billion and most of the profits came from the manufacturing business which made $59.08 billion in revenue.
The conglomerate has its subsidiaries in different sectors like manufacturing, freight, insurance, energy, etc. The market cap of the company for the year 2020 is $543.67 billion.
Johnson & Johnson (United States)
The revenue generated by the company for 2020 was $82.584 billion. The sales of $82.6 Billion for the year 2020 reflected growth of 0.6%, operational growth of 1.2%, and adjusted operational growth of 1.5%.
Visa (United States)
Visa made an annual revenue of $21,846 billion; the company offers global payment solutions to the banks. Data processing revenues rose 6%.
The company rose in revenue in the first quarter itself amid the pandemic of 10% to $6.05 billion.
These companies have thrived for success and overcame the pandemic with the right strategies that led to business growth.
