5 Stocks Facing Billion-Dollar Barriers

Apple Inc. (NASDAQ:AAPL), Microsoft Corporation (NASDAQ:MSFT), McDonald's Corporation (NYSE:MCD), Amazon.com, Inc. (NASDAQ:AMZN), and Twitter Inc (NYSE:TWTR) are staring at market-cap barriers

Senior Market Strategist
Feb 10, 2017 at 3:02 PM
facebook twitter linkedin

A company's market capitalization -- or "market cap" -- is the market value of its outstanding shares, calculated by multiplying the stock price and the number of shares outstanding. Interestingly, nearly all the big dogs in the S&P 500 Index (SPX) are at some kind of market-cap-related barrier right now. That said, the market caps of five stocks in particular stuck out to me this week: tech titans Apple Inc. (NASDAQ:AAPL) and Microsoft Corporation (NASDAQ:MSFT), fellow blue chip McDonald's Corporation (NYSE:MCD), e-tail giant Amazon.com, Inc. (NASDAQ:AMZN), and sinking social media stock Twitter Inc (NYSE:TWTR).

AAPL and $700 billion

AAPL is in an interesting situation, in that the share price is at all-time highs; however, market cap -- while being at $700 billion -- is not. Apple Inc. had a market cap of $750 billion in 2015.

AAPL stock market cap

MSFT and $500 billion

As with AAPL, MSFT shares are exploring record highs, but market cap -- around $500 billion -- was higher at the height of the tech boom.

MSFT stock market cap

MCD and $100 billion

McDonald's Corporation's $100 billion market-cap level has been tested numerous times. Is it finally support?

MCD stock market cap

AMZN and $400 billion

Amazon.com, Inc.'s $400 billion market cap aligns with the stock's $800 level, which has emerged as an important round-number area in recent months.

AMZN stock market cap

TWTR and $10 billion

The $14 level lines up with Twitter Inc's $10 billion market cap. In 2016, TWTR touched this level multiple times before bouncing. At last check, TWTR shares are trading at $15.57, and have struggled this week after earnings.

TWTR stock market cap

Don't miss Schaeffer's free weekly stock market forecast. Sign up now for Monday Morning Outlook.

Grab Your FREE 5 Rules for Trading Stock Trends Report



Special Offers from Schaeffer's Trading Partners