After a huge rebound in recent weeks, Tesla is working its way back toward a $1 trillion valuation. Warren Buffett's Berkshire Hathaway is even closer than Tesla. But Taiwan Semiconductor Manufacturing is on the doorstep of entering the trillion-dollar club, briefly doing so on Monday.
Eli Lilly and Broadcom round out the five biggest companies below $1 trillion.
All are S&P 500 giants except for Taiwan Semiconductor, which is not a U.S. company.
The Next $1 Trillion Stocks?
| Company | Ticker | Market cap, in billions |
|---|---|---|
| Taiwan Semiconductor Manufacturing | TSM | $957.05 |
| Berkshire Hathaway | BRKB | $886.34 |
| Eli Lilly | LLY | $886.25 |
| Tesla | TSLA | $836.62 |
| Broadcom | AVGO | $806.84 |
Taiwan Semiconductor Stock
TSM stock market cap: $957 billion as of July 9.
Taiwan Semiconductor makes chips for Nvidia, Apple, Broadcom and many others.
Growth is starting to rebound, fueled by high-priced, high-margin artificial intelligence chips. Taiwan Semiconductor reports June and second-quarter sales on Wednesday, with Q2 earnings due July 18.
Taiwan Semi stock has soared 77.4% in 2024, hitting a record high on Monday. TSM stock is significantly extended from a 148.43 double-bottom buy point first cleared in May.
On Monday, Taiwan Semi briefly hit a $1 trillion valuation before slashing gains. Shares fell slightly Tuesday.
Warren Buffett's Berkshire Hathaway Stock
Berkshire stock market cap: $886.3 billion.
Warren Buffett's Berkshire Hathaway is a massive conglomerate, with big exposure to the insurance, rail and energy markets, as well as consumer brands. Berkshire is known for its investment portfolio, with Apple stock as is its top holding.
Earnings growth has been solid for several quarters.
Berkshire Hathaway stock is up 15.1% in 2024. Shares have been consolidating since a downside reversal from a record 430 on Feb. 26.
BRKB stock is just above the 50-day line after reclaiming that key level on Friday. The official buy point is 430, though a move above the June 24 high of 417 would offer an early entry.
Eli Lilly Stock
LLY stock market cap: $886.2 billion.
Eli Lilly is taking off thanks to its diabetes and weight-loss drugs, Mounjaro and Zepbound, which use the same active ingredient. But it has a broad portfolio and pipeline, with the FDA just approving its Alzheimer's drug.
Eli Lilly earnings are expected to more than double in 2024 on the drug giant's obesity plays and more.
On Monday, Eli Lilly agreed to buy Morphic for $3.2 billion, which has a lead asset to treat ulcerative colitis and Chron's disease.
Eli Lilly stock has rallied 60% in 2024, hitting a record high on Tuesday. LLY stock has climbed for 11 straight weeks, many of them modest advances.
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Tesla Stock
TSLA stock market cap: $836.6 billion.
Tesla is an electric vehicle giant and the leader in purely battery electric vehicles (BEVs). Deliveries have fallen vs. a year earlier in the prior two quarters, though Q2 sales beat lowered estimates. Battery storage deployment soared in Q2. But the real hope is that Tesla will deliver self-driving, robots and other AI moonshots.
Tesla earnings are due July 23. EPS is seen falling for a fourth straight quarter.
Tesla stock, once the worst performer on the S&P 500 in 2024, is now up 5.6%. Shares have surged 44% in the last 10 sessions.
Tesla is greatly extended from the 191.08 handle buy point. TSLA stock is right at a long-term trendline going back to its late 2021 all-time high.
Broadcom Stock
AVGO stock market cap: $806.8 billion.
Broadcom is a chip and software giant, beefing up the latter with a series of acquisitions.
Earnings growth has been in single digits for the past four quarters, but is expected to accelerate for the next four periods.
Broadcom stock is up 55.3% in 2024. Shares hit a record 1,851.62 on June 18, then pulled back with Nvidia and other AI chip plays.
Please follow Ed Carson on Threads at @edcarson1971 and X/Twitter at @IBD_ECarson for stock market updates and more.
