What are the most expensive stocks to trade? Does the price of a stock affect its market popularity and performance? No, it doesn’t. Stocks worth a few thousand dollars may have a market capitalization below those worth a few dollars. It all depends on the number of outstanding shares available.
In this article, we will explore the most expensive stocks in the world. A few years ago, many notable companies such as Tesla, Amazon, and Alphabet would have made the list. However, they all underwent a stock split that cut their stock prices. This hasn’t, in any case, changed their fundamentals or popularity among investors.
Sometimes, a lower stock price is more appealing to investors because it is cheaper. Furthermore, some platforms do not allow fractional ownership of stocks. Investors must have enough funds to purchase one full share to become a shareholder. Some companies undergo a stock split to become more popular among all investors. Let’s begin our list of the most expensive stocks in the world.
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Berkshire Hathaway (NYSE: BRK.A & BRK.B): Most Expensive Stocks
Berkshire Hathaway is not only the most expensive stock in the world but also the only stock from today’s most expensive stocks list that ranks in the top 10 by market capitalization worldwide. It is worth over $700B, ranking it 7th among all companies. At the moment, one share is worth more than $500,000.
Berkshire began as a textile company until legendary investor Warren Buffet purchased the struggling firm in 1965. Buffet then turned it into a holding company for his investments.
Berkshire Hathaway owns various companies, such as FlightSafety International, Duracell, Fruit of the Loom, GEICO, Dairy Queen, and many more. Throughout the years, many have attempted to persuade Buffet to perform a stock split to make the stock more accessible to everyday investors.
Unfortunately, not everyone will remortgage their homes to purchase a single company share. Buffet wants to discourage short-term buying and selling opportunities by limiting the stock’s volatility. A cheaper version of the stock is available (BRK.B). It is currently trading at $330. It is much more affordable and performs similarly to its more expensive sibling.
Berkshire Hathaway Top Holdings
Those who can’t afford to purchase a share of Berkshire Hathaway can mimic Buffet’s investment strategy. Some of his purchases quickly become public as his investment size is significant. His latest 13F filing shows some changes to his top 10 holdings.
Apple is by far Buffet’s top holding. It represents 46% of its portfolio. Bank of America is next, representing 9.1% of the portfolio. It is followed by American Express, Coca-Cola, Chevron, Occidental Petroleum, Kraft Heinz, Moody’s Corp, Activision Blizzard, and HP to close out the top 10.
As long as Buffet remains alive, he is, after all, 92 years old, and the company will continue to perform well. So what will happen when Berkshire falls into the hands of its successor? Only time will tell.
Lindt & Spruengli (OTCMKTS: LDSVF & SWX: LISN): Most Expensive Stocks
Spoiler alert, no other stock will even come close to Berkshire Hathaway as one of the most expensive stocks. Lindt‘s stock is currently trading at $12,000. The company trades on both the Swiss and US OTC stock markets.
Since its creation in 1845, the company has grown a lot. Lindt began as a chocolate maker in Switzerland and some European countries. Today, it is an international conglomerate that produces chocolate, ice cream, treats, and other pastries.
Lindt has factories around the world as well as 500 stores across more than 120 countries. Its products are well-known globally. Who hasn’t bought the famous Lindt-wrapped chocolate ball for a special occasion or a chocolate craving?
The brand also owns many companies, such as Russell Stover, Ghirardelli, etc. The Swiss are known for their chocolate, and that art isn’t going anywhere. Its latest quarterly results are in line with expectations as demand keeps increasing. Lindt is a good investment for those who can afford it, as the company will undoubtedly keep growing with time.
NVR Inc (NYSE: NVR)
Every company in this most expensive stocks article operates in different fields. NVR is one of the leaders in the mortgage and home construction industry. It is currently trading at just over $5,800.
The company has developed quite a bit since its creation in 1940. NVR operates in Washington DC, and 15 other states for 35 metropolitan areas. Since NVR’s creation, over 365,000 properties have been built in the US.
NVR operates subsidiaries that complement each other: Ryan Homes, NVHomes, Foxridge Homes, and Heartland Homes. These companies are responsible for building products, delivering them, and constructing homes around the US.
Lastly, NVR operates a mortgage banking unit, NVR Mortgages, and services homebuyers with NVR Settlement Services. NVR has various units that help the company with its business model. Its clients don’t have to contact multiple companies since NVR can help them with all their needs.
When the Fed lowered interest rates in 2020, another housing boom began. However, things have changed drastically since. Mortgage rates more than doubled, and demand decreased. Despite the stock price increase in the last 12 months, some pessimism exists.
\NVR’s orders have diminished, and growth doesn’t seem as strong. The Fed’s rate decision will greatly impact NVR in the upcoming quarters.
Seaboard Corp (NYSEAMERICAN: SEB)
Next on the most expensive stocks list is Seaboard. The Kansas company currently trades at just over $3,800 per share. Seaboard is a diversified business operating in many industries, such as alcohol, agriculture, sugar, pork, and transportation. Its main source of revenue is in the pork industry in the US. Since many of its products are commodities, it is very active in commodity trading. In addition, thanks to its many large-cargo ships, Seaboard can transport its goods internationally.
Seaboard may only be worth a few billion dollars but it is part of the Fortune 500 list. After a series of acquisitions at the beginning of the 20th century, Seaboard quickly grew and became an essential player in many industries in the US. It’s a little-known stock but may deserve more attention.
Autozone Inc (NYSE: AZO)
Last on the list of the most expensive stocks around the world is Autozone Inc. One share is currently worth just over $3,600. It is the US’s second-largest retailer of car repairs, parts, and other accessories.
Autozone operates in 49 US states with almost 7000 stores. It also has over 700 stores in Mexico and 72 in Brazil. On top of selling parts, it also offers credit on various purchases and services thanks to the ALLDATA brand.
Autozone isn’t the most exciting business to be a part of, but cars will always be around us. As the company adapts to the new electric vehicle market, it will likely keep growing and servicing car owners in the US and other countries.
Most Expensive Stocks Conclusion
If there is one thing we can learn from the most expensive stocks in the world, they are all in different industries. It is important to note that the price of these stocks does not reflect their performance. Just because a stock is expensive doesn’t mean it is a buy.
Some of these stocks are available to wealthy investors and will remain that way unless a stock split is announced or fractional shares are allowed on broker platforms. In any case, all five stocks in this article have a solid business.