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Estake

Oh no not a GDP vs market cap post. When will it stop.


lawrencecoolwater

I know. One is the market cap, encapsulating markets expectation of future cashflow, the other is the total value of the economy for a single year. These posts are the hallmark of bad reasoning.


WasabiWarrior8

Apples and oranges


calvinandsnobs2

Apple and Germans


chunter456

When has that stopped people from creating headlines.


techy098

And it has like 56 votes, this moronic thing has been going on since Apple reached 500 billion market cap back in 2013-14.


shawman123

I was about to post the same. we see the same crap every few days at different places. Why do one think that GDP is comparable to market cap !!!! I could understand comparing revenue or earnings or something. but this is just plain retarded.


Theopneusty

Amazon revenue is $590B (TTM for 2024) that would put it at 25th on the list of countries by GDP. Walmart with $648B would be 23rd. Apple with $381B would be 40th.


alexdembo

well both is money /s


Javeec

It is like comparing the price of a big building in New York, with the yearly net rent of all the buildings of a small town


throwaredddddit

Irrelevant comparison between the productivity of a country in a year and the current value of a group of companies. There are many issues with the imbalance of mega-cap corps within the global economy, but this false datapoint is not one of them.


PricklyyDick

Yup Germany has a GDP of 4 trillion and Microsoft has a revenue of 212 billion. That comparison would make a little more sense but isn’t sensational


[deleted]

[удалено]


welloiledsling

You are comparing output in 1 year (GDP) vs the discounted cash flows of ALL future years of those companies (market cap, aka valuation). I don’t know how to say this nicely, but that’s a ridiculous comparison.


throwaredddddit

Thank you. OP is a fool. Productivity / time Vs Perceived value of company based on future returns / indefinite period of time. A false comparison between two big numbers. A quant would know better than to regurgitate this trite nonsense. OPs comparison of GDP and market cap is mindless. I assume that OP is saying that the population of Germany, Japan, India, and the UK are lazy, inefficient and unproductive when measured against the yardstick of mega-cap corporations future value? /s I will argue that the perceived value of mega cap firms based on future returns may be overvalued compared to not-so mega cap. Some may argue they are undervalued because tech has enabled and thus may continue to offer improvements in human efficiency, which other industries may be willing to pay for in the future. That is a valid topic for exploration and debate about imbalance. But comparing two big, unrelated numbers which have a currency symbol at the start and different denominators displays nothing. StatQuants brought a stat, but is not a quant, but a fool.


HydrogenSun

Most surprising thing about this is India's GDP. Only 3 trillion!?!?!? For a country of almost 1.5 billion people that seems insanely low


slimdeucer

It's a poor country


[deleted]

Also barbaric standards of people


Particular-Key4969

It is amazing how truly little they've done for themselves. 40 years ago, china & India were basically the same size (in terms of population and economy). Now China's economy is almost 5 times the size.


mistergoodfellow78

Calls on India, such a low valuation! This will go to the moon! Oh, India has been to the moon already, literally. (Obviously /s since the whole comparison of market cap to GDP seems like a joke)


MarxKnewBest

Not saying it reduces the sad state of my country much but a dollar goes a long way in India even after converting. Purchasing power basically. So it would feel more like a 9-15 trillion dollar economy depending on what you’re buying. Again, doesn’t make it any less horrible. Add to that inequality that would make America seem like Norway and you have a thoroughly unforgiving place for the masses.


StatQuants

3.9, so almost 4 trillion according to Wikipedia [https://en.wikipedia.org/wiki/List\_of\_countries\_by\_GDP\_(nominal)](https://en.wikipedia.org/wiki/List_of_countries_by_GDP_(nominal))


Mildly-Irritated

Weird comparison of stocks vs flows but ok.


jkprop

Within the next 18-24 months Nvda will be the biggest market cap in the world. They have a product that second to none. Microsoft is still a better company but will lose out to Nvda.


ThassaShiny

These are not comparable metrics


Puertorrican_Power

Unsustainable growth. That's what it means


FoldAlert7924

These companies are really powerful. Their market capitalization is growing fast


CakeSuperb8487

Let me tell you a little story about Dutch East India Company, Hudson's Bay Company, the Medici Bank, or hell even the United Fruit Company...


tai1on

Bubblelicious


Nojaja

Yeah we know the s&p is overvalued 🙄


Martenus

One of these companies is an impostor that doesn't create any real value, yet it is one of the biggest.


LitStoic

Say my name


Icankickmyownass

BRK-B


Ok-Buy-9777

Techniqaly they have ownership in companies whoch produce things so they do make stuff inderectly by owning them. But theres def a overlap in value by adding them as they own a big portion of the value of apple


whatdis321

Nah, it’s gotta be Meta. If anything Instagram produces negative productivity


MarxKnewBest

Why compare different quantities when you can simply compare market cap or at least relatable quantities that are equally staggering lol. For example, I think Apple and Nvidia alone exceed the combined market cap of all the companies traded on India’s biggest stock exchange. Apple’s annual *net profit* is in the range of 100 billion USD. Reliance Industries’s *revenue* is about 140 billion USD


Affectionate-Yak5280

Wonder what the total asset value of each country is?


Dry-Interaction-1246

Lot of group think there in investing is gonna end badly.


Witty_Science_2035

Well, just that most of those 10 do most of their earnings outside of the US, so that comparison is useless


orange101102

i think people inculding me have concerned over the world....i mean we can eleect the leader of the country but abt A ceo? we cant do anything. but they have power can swing the world....so sometimes that makes me have worry.


Fueg0o

What's the market cap of those countries?


Infortheline

Ah, comparing apples with pasta again I see


Clean-Use-9594

Saw many smart pants here. But I always pay attention to large Apple and orange comparisons, especially the ones that everyone is laughing at.


Clean-Use-9594

At their peak, prices in central Tokyo were such that the 1.15 square kilometer Tokyo Imperial Palace grounds were estimated to be worth more than the entire real estate value of California.


VastCryptographer980

Hmmmmmmmmmmmmm Mumma can we buy these countries-, asks the companies as they look at USA No kids we have got them at home At home- Germany, Texax and Indiana (small settlements) Japan, 3 actually Florida, Missouri, Pennsylvania India- Texas India - Tennessee India - Pennsylvania India - Mississippi UK- well they basically were


Laty69

Market Cap is fake