Winged Unicorns: The next publicly held Trillion Dollar companies

Rainbow Winged Unicorn Figure - A2Z Science & Learning Toy Store
Winged Unicorn: The next public trillion dollar companies

While unicorns (434 as of Oct 2020) are private companies with $1 Billion in valuation, the public companies with $1 Trillion in market capitalization are only 4 – Apple, Microsoft, Google and Amazon.

If we were to predict the next trillion $ in market capitalization companies, the obvious ones are Alibaba ($BABA), Tencent ($TCEHY) and Facebook ($FB).

Beyond these if we look over the next 10 years the companies with the highest potential to be $1 trillion are likely companies with fast growth and incredibly large market potentials.

There are 5 sectors that I believe are large enough to support the next trillion dollar companies.

  1. Finance (Square, Paypal, Visa, Mastercard)
  2. Technology (Salesforce, Adobe, Nvidia)
  3. Retail and commerce (Shopify, Mercardo Libre, Etsy)
  4. Pharma and health (None I believe yet can get there in the next 5 years)
  5. Automobile & Media (Tesla, Netflix)

In each of these segments there are established companies such as JP Morgan, Goldman Sachs, Intel, Walmart, J&J, Pfizer, Merck, GM, Toyota.

I don’t think any of these companies (except Walmart) have any chance of being a trillion $ company, unless they actively acquire other companies in their space – which will invite antitrust concerns.

As of Oct 2020, here is the market cap of these companies.

CompanyTicker SymbolMarket Cap
Square$80B
Paypal$229B
Mastercard$345B
VISA$448B
Salesforce$230B
Nvidia$344B
Shopify$129B
Mercado Libre$54B
Etsy$17B
Tesla$387B
Netflix$225B
Alibaba$803B
Tencent$652B
Trillion dollar market cap targets
Companies by smallest to largest in current market cap