The stock market is one of the most volatile platforms in the world, with investors earning humongous profits in a day at times, and on the other occasions, even the most expensive stocks just dip down in a fraction of seconds. Such is the unpredictability of the stock market across the world.
There are several factors such as geopolitical developments, central bank rates, elections, companies’ valuation, market cap, quarterly results, etc, which affect the market. These elements help equity analysts forecast the performance to stocks.
Defining the most expensive stock
Let’s first examine what it means to be the most expensive stock globally.
Stocks that are costly in comparison to their underlying fundamentals or that have an exponentially high price are referred to as expensive stocks. The finest stock or company in the world is not always the one with the highest price, neither is the company with the highest market cap. It is the most expensive due to a number of reasons, including the stock’s current market price.
What affects the share valuation
Instead of only focusing on an organization’s accounting value, stock values also reflect that value which investors place on it. Below are the principal inputs, which consist of:
Financial performance: Multiples such as price-to-earnings ratios are used to measure greater values, which are attributed to strong earnings and attractive growth prospects.
Investor sentiment: The psychology of the market has a big impact on share prices, often differing from the company’s financials.
Available float: Lower supply signifies limited shares to go around, aggravating price flows.
Index inclusions: Being included in significant indices offers passive fund inflows that support prices.
Thus, factors that are both quantitative and emotive eventually impact the share prices.
Some of the most expensive stocks
Now, let’s check the list of some of the most expensive stocks in the world in terms of their trading value at the stock exchange:
Berkshire Hathaway Inc Class A (Stock price: $612,241.00 per share)
Without a doubt, the most expensive stock in the world is Berkshire Hathaway Inc. Class A. At the time this article was written, the class A shares were trading on the NYSE for $612,241.00 a share. Being an MNC, Berkshie Hathaway owns firms like FlightSafety International, NetJets, Fruit of the Loom, GEICO, Helzberg Diamonds, Lubrizol, Dairy Queen and BNSF. It also has significant minority stakes in well-known corporations including Apple, American Express, Coca-Cola and Wells Fargo. Warren Buffett, the CEO of Berkshire Hathaway, is popularly known as the ‘Oracle of Omaha’ for his astute investment sense. It’s important to note that Berkshire also has Class B shares listed on the market, that are trading at $406.80 apiece.
Chocoladefabriken Lindt & Sprüngli AG: (Stock price: $114,893 per share or CHF103,400)
Known by its popular name, Lindt, Chocoladefabriken Lindt & Sprungli AG, this Swiss chocolate manufacturer, has a hefty stock price. It all began as a little candy store in Zurich in 1836 and has since expanded to several manufacturers, stores, and cafés throughout the globe. It produces and sells chocolate bars, truffles, ice creams, liqueurs, and sweets that are in high demand outside of Europe. At the time of writing this article, Chocoladefabriken Lindt & Sprungli is trading at CHF103,400 per share. Lindt, too, has a second category of shares listed on the bourses. These shares are trading at CHF10,480 apiece.
Next plc: (Stock price: $11,586.99 per share)
With its headquarters located in Enderby, Leicestershire, Next is a global British retailer of footwear, apparel and home goods. It runs over 700 stores, roughly 200 of which are in continental Europe, the Middle East, and Asia, and 500 of which are in the UK and Ireland. The biggest apparel retailer in the UK by sales is Next, which surpassed Marks & Spencer in 2012. The company’s stock is trading at $11,586.99 at the time of writing this article.
NVR Inc: (Stock price: $7,588.56 per share)
NVR Inc., a leading US-based company that specializes in building materials and home renovation, is another most expensive stock in the world. With a market valuation of $25.77 billion and an EPS of about $491.52 (as on 28 March, 2024), the stock is currently trading at $7,588.56 per share at the time of writing this article.
Booking Holdings Inc: (Stock price: $3,961.50 per share)
Booking Holdings, a leading provider of travel technology, owns online travel businesses including Booking.com, Kayak, Priceline, and OpenTable. With six brands and websites available in 40 languages, the US-based behemoth provides travel-related services in more than 200 countries. At the time of writing this article, the company’s share is trading at $3,961.50 per share.
Read: What are blue chip stocks and why you should invest in them
Seaboard Corporation (SEB): (Stock price: $3,160.74 per share)
The behemoth in the food and cigarette industries, SEB is the next most expensive stock in the world. Marine, turkey, sugar and alcohol, electricity, commodities trading and milling are its primary business verticals. It has a market valuation of $3.23 billion, CMP of $3,302.6 and EPS of $202.21 with a dividend yield of nine (as on March 28, 2024). The company’s stock is trading at $3,160.74 per share at the time of writing this article.
Autozone Inc: (Stock price: $2,964.10 per share)
This stock also made it in the list of most expensive stocks. The company’s share price increased 33.09 percent over the last year. It gives gives market valuation of $55.76 billion (as on March 28, 2024). Based in Tennessee, AutoZone offers a variety of vehicle parts and accessories to customers in the USA, Brazil and Mexico. At the time of writing this article, AutoZone is trading at $2,964.10 per share.
White Mountains Insurance Group Ltd (Stock price: $1,817.45 per share)
White Mountains Insurance Group is a diversified insurance and related financial services holding company, and engages in the acquisition of businesses and assets in those sectors. Founded in 1980, the company is headquartered in New Hampshire. At the time of writing this article, the company share was trading at $1,817.45 per share.
Markel Corporation (Stock price: $1,575.66 per share)
A fortune 500 company Markel Corporation is a part of Market Group, Inc. Its areas of expertise include yachts, ATVs, and motorcycles; pollution; inland marine coverage for fine art collections. It also manages event cancellation insurance for athletic events, concerts, and weddings; reinsurance for high-risk businesses like oil rigs; and risks related to agriculture and equines. At the time of writing this article Markel Group Inc is trading at $1,575.66 per share.
Madras Rubber Factory (MRF) Limited (Stock price: $1,552.81)
MRF Ltd. is the leading tyre maker in India, with a 24 percent market share in the nation’s tyre sector. The firm exports to 65 countries and has eight tyre production facilities in India. At the time of writing this article, MRF is trading at $1,552.81 per share.
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