This Forbes list of the highest-priced stocks in the US has undergone changes in recent years as more individuals become potential investors. The list of the Top 5 Highest-Priced Stocks in the US now includes Tesla, MercadoLibre, Shopify and MELI. These companies have high-flying shares and have impressive growth plans. If the market price continues to rise, they may soon be the most valuable firm in the world.
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Markel Corporation
The reinsurance business of Markel Corporation is one of the best performers in the industry, and the stock is one of the highest priced in America. The company’s revenue has quadrupled in the last decade, and its EPS has increased from $26 in 2012 to $177 in 2021. Company has a forward Return on Equity of 35% and a trailing twelve-month Return on Total Assets of 3.67%, which is higher than the industry median of 1.26%.
The company’s recent acquisition by Berkshire Hathaway has brought the stock to attention. Berkshire Hathaway recently bought 420,000 shares of the stock, amounting to $620 million. This has caused comparisons between Berkshire Hathaway and Markel.
Markel Corporation is a diversified financial holding company that specializes in reinsurance and specialty insurance products. The company has two primary segments: Insurance and Reinsurance. The Insurance segment offers insurance coverage for marine and energy risks, excess of loss reinsurance, and workers’ compensation. It also owns controlling interests in various businesses outside of the specialty insurance marketplace.
MercadoLibre
MercadoLibre (NASDAQ: MELI) is a Latin America e-commerce company with a staggering price tag. A share currently sells for approximately $1,250. While it’s not the most expensive stock in America, the price is unusual. We have compared it to Amazon and Alphabet, two other companies with enormous market capitalizations. The company has been an immense success in Latin America, and has used its success to launch new ventures.
The company’s TPV, or total payment volume, per user, increased 189% YoY (FX-neutral) in the second quarter. This was driven by increased transactions from existing users. This translates into an 89% YoY growth in revenue.
The company’s website is home to the largest online commerce ecosystem in Latin America. The website allows individuals and businesses to sell and buy items on the internet, and it offers classified advertisements and online payment services.
Shopify
One of the most interesting trends in the stock market today is the emergence of new technology that makes retailing easier. Many retailers are using software and services provided by Shopify to become more competitive with Amazon and other online retailers. The company has a fascinating story and an exciting opportunity.
But the company’s recent performance hasn’t been enough to justify its current price. Its shares have fallen over 15% year-to-date and are down nearly 48% from their highs in early November. The reason for the recent decline is the fact that investors are pulling back from high-growth stocks in an environment of rising interest rates and a strong probability of a rate hike next year. Also, Shopify’s growth momentum is slowing down. However, the company has been reporting strong year-over-year sales growth in recent quarters.
Even though Shopify’s revenue growth has been impressive, the company warned that the first quarter of 2019 will be weaker than expected. However, analysts predict sales growth of 31% this year. Although Shopify does not have a true cash cow, it trades at a price that’s more than a hundred times its estimated earnings.
MELI
MercadoLibre (NASDAQ:MELI) is often touted as the Latin America equivalent of Amazon and Alibaba. While the two companies may be far apart, their businesses are quite similar. Both have online sales and advertising businesses. However, their business model is different. MercadoLibre operates in 18 countries and offers both online sales and advertising services.
MELI has been aggressively expanding its capabilities, and it has a growing market share. Its net PPE assets and capital expenditures have increased in the past few years, and MELI’s debts are higher than ever. It has nearly $2 billion in long-term debts, and it reported $0.19B in interest expenses during the last fiscal year.
MercadoLibre is arguably the most successful e-commerce company in Latin America. Its solutions offer first-time access to financial services for many of the country’s residents. Its FinTech Solutions division is expected to become its largest source of revenue by 2022. MELI also has a high safety margin, which makes it a great stock for long-term investing.
