📈 TKer by Sam Ro

📈 TKer by Sam Ro

Share this post

📈 TKer by Sam Ro
📈 TKer by Sam Ro
The biggest stocks in the market are massive for a reason 💪
Copy link
Facebook
Email
Notes
More

The biggest stocks in the market are massive for a reason 💪

"Fundamental results can justify rising concentration" 💰

Sam Ro, CFA's avatar
Sam Ro, CFA
Jun 06, 2024
∙ Paid
13

Share this post

📈 TKer by Sam Ro
📈 TKer by Sam Ro
The biggest stocks in the market are massive for a reason 💪
Copy link
Facebook
Email
Notes
More
Share
The biggest stocks in the market account for an increasing share of the market. (Source: Morgan Stanley)

AI-hardware behemoth Nvidia saw its market value rise above $3 trillion on Wednesday. It’s now the second-largest company behind Microsoft and ahead of Apple.

The news is bringing fresh attention to how big some of these megacap tech companies have become.

We’ve discussed extensively how the values of these big companies are arguably justified (here, here, and here), and how Nvidia’s rally has been supported by tangible demand for its offerings (here, here, and here).

But as long as market pundits sound alarms on trillion-dollar market caps and historically high market concentration while ignoring or downplaying the fundamental earnings power of these companies, then we’ll keep revisiting this big market story in context.

‘Fundamental results can justify rising concentration’ 💪

Keep reading with a 7-day free trial

Subscribe to 📈 TKer by Sam Ro to keep reading this post and get 7 days of free access to the full post archives.

Already a paid subscriber? Sign in
© 2025 Samuel Ro
Privacy ∙ Terms ∙ Collection notice
Start writingGet the app
Substack is the home for great culture

Share

Copy link
Facebook
Email
Notes
More