Market News Video
MNV MNV The 10 Most Popular Large-Caps in ETFs
Free Dividend Report - Top Ranked Stocks

Featured MNV Articles:

iShares Core High Dividend ETF Experiences Big Inflow
Monday, May 2, 11:01 AM ET, by Market News Video Staff

Symbols mentioned in this story: HDV, XOM, CVX, PFE Exchange traded funds (ETFs) trade just ...

Interesting October Stock Options for GE
Monday, May 2, 11:59 AM ET, by Market News Video Staff

Consistently, one of the more popular stocks people enter into their stock options watchlist at ...

One Put, One Call Option To Know About for Chevron
Monday, May 2, 12:08 PM ET, by Market News Video Staff

Consistently, one of the more popular stocks people enter into their stock options watchlist at ...

Broker Darlings of the Dow: General Electric Ranks As a Top 15 Analyst Pick
Tuesday, May 3, 11:49 AM ET, by Market News Video Staff

A study of analyst recommendations at the major brokerages shows that General Electric Co (GE) ...

IVV, GE, PM, ABBV: ETF Outflow Alert
Wednesday, May 4, 11:25 AM ET, by Market News Video Staff

Symbols mentioned in this story: IVV, GE, PM, ABBV Exchange traded funds (ETFs) trade just ...

  More articles:  1 2 3 4 5 6 7 next »

Chevron Corporation Now #6 Largest Company, Surpassing General Electric Co

By Market News Video Staff, Thursday, August 16, 4:43 PM ET
Play Video: The Importance Of Market Cap

If the video does not load after a few moments, Upgrade to the Latest Flash Player.

In the latest look at the underlying components of the S&P 500 ordered by largest market capitalization, Chevron Corporation (NYSE:CVX) has taken over the #6 spot from General Electric Co (NYSE:GE), according to The Online Investor.

Market capitalization is an important data point for investors to keep an eye on, for various reasons. The most basic reason is that it gives a true comparison of the value attributed by the stock market to a given company's stock. Many beginning investors look at one stock trading at $10 and another trading at $20 and mistakenly think the latter company is worth twice as much that of course is a completely meaningless comparison without knowing how many shares of each company exist. But comparing market capitalization (factoring in those share counts) creates a true "apples-to-apples" comparison of the value of two stocks. In the case of Chevron Corporation (NYSE:CVX), the market cap is now $222.35 billion, versus General Electric Co (NYSE:GE) at $222.26 billion.

Below is a chart of Chevron Corporation versus General Electric Co plotting their respective size rank within the S&P 500 over time (CVX plotted in blue; GE plotted in green):

Below is a three month price history chart comparing the stock performance of CVX vs. GE:

CVX,GE Relative Performance Chart

Another reason market capitalization is important is where it places a company in terms of its size tier in relation to peers much like the way a mid-size sedan is typically compared to other mid-size sedans (and not SUV's). This can have a direct impact on which mutual funds and ETFs are willing to own the stock. For instance, a mutual fund that is focused solely on Large Cap stocks may for example only be interested in those companies sized $10 billion or larger. Another illustrative example is the S&P MidCap index which essentially takes the S&P 500 index and "tosses out" the biggest 100 companies so as to focus solely on the 400 smaller "up-and-comers" (which in the right environment can outperform their larger rivals). So a company's market cap, especially in relation to other companies, carries great importance, and for this reason we at The Online Investor find value to putting together these rankings daily.

According to the ETF Finder at ETF Channel, CVX and GE collectively make up 12.41% of the iShares Morningstar Large Value Index Fund ETF (JKF) which is higher by about 0.5% on the day Thursday.

See what other ETFs contain both CVX and GE
See what other stocks are held by JKF

At the closing bell, CVX is up about 0.7%, while GE is up about 0.4% on the day Thursday.

Top Six Most Viewed Stories This Week @ Market News Video:

This Article's Word Cloud:   Another   Below   Chevron   Corporation   ETFs   Electric   General   Investor   Large   Market   NYSE   Online   Thursday   about   apples   billion   capitalization   chart   companies   company   comparing   comparison   example   fillColor   important   index   investors   larger   look   market   much   mutual   other   over   plotted   reason   relation   size   solely   stock   stocks   that   their   those   trading   true   value   versus   what   which
About Us - Advertise - Contact Us - Embedding Videos - Licensing Videos - Partners - mRSS / RSS Feed - Terms of Use - Privacy Policy - Video Widget
Home  |  Analyst News  Dividend Report  ETFs  Insider Report  Large Caps  Market Movers  Week Ahead Report  Weekly Market Wrap
MNV MNV Portfolio Channel Stock Market Definitions

Chevron Corporation Now #6 Largest Company, Surpassing General Electric Co | Market News Video | Copyright © 2008 - 2016, All Rights Reserved

Any ideas and opinions presented in all Market News Video clips are for informational and educational purposes only, and do not reflect the opinions of BNK Invest, Inc. or any of its affiliates, subsidiaries or partners. In no way should any content contained herein be interpreted to represent trading or investment advice. None of the information contained herein constitutes a recommendation that any particular security, portfolio, transaction, or investment strategy is suitable for any specific person. All viewers agree that under no circumstances will BNK Invest, Inc,. its subsidiaries, partners, officers, employees, affiliates, or agents be held liable for any loss or damage caused by your reliance on information obtained. Read Full Disclaimer.