CA - Trillionaire Club Throws An Indulgent Theme Party

2024-06-25 06:30:00 ET

Summary

• Six years ago, Apple became a $1 trillion company, not long before oil titan Saudi Aramco publicly debuted with a 13-digit market capitalization.
• Chipmaker Broadcom is riding an artificial intelligence wave. Eli Lilly is also on its way, thanks to the anti-obesity craze.
• However, both Broadcom and Eli Lilly face valid questions about whether their valuations reflect overly excessive growth projections.

By Breakingviews

The trillionaire club is growing quickly. Six years ago, Apple ( AAPL ) became the charter member, not long before oil titan Saudi Aramco ( ARMCO ) publicly debuted with a 13-digit market capitalization. Few would have predicted five more inductees so soon, and investors are nudging even more companies to join. Chipmaker Broadcom ( AVGO ) is riding an artificial intelligence wave just like Nvidia ( NVDA ), Microsoft ( MSFT ), Amazon.com ( AMZN ), Alphabet ( GOOG , GOOGL ) and Meta Platforms ( META ). Eli Lilly ( LLY ) is on its way, thanks to the anti-obesity craze. Hyped megatrends sparking giddy valuations, however, will inevitably lead to disappointment....

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