As tech bellwethers Apple Inc. and Amazon.com Inc. cross $1 trillion in market capitalization, the relative value of the largest banks in the U.S. pales by comparison.
After the market closed on Wednesday, Amazon and Apple's combined market cap was equal to the market cap of the 114 largest publicly traded U.S. banks combined. The combined market cap of all 865 publicly traded U.S. banks and thrifts was $2.233 trillion as of Sept. 5, only $164.1 billion more than the two tech companies combined, according to S&P Global Market Intelligence data.
Apple, the larger of the two tech companies and still the only U.S. company to close above $1 trillion in market cap, was almost triple the size of JPMorgan Chase & Co., the largest U.S. bank by deposits, assets and market capitalization. Ten years ago, Apple's market cap was approximately $5 billion less than Bank of America Corp., then the largest U.S. bank by market capitalization at $146.97 billion.
Over the past 10 years, the Big Four bank stocks have been a mixed bag. JPMorgan easily outpaced the S&P 500, returning 263.08%, compared to the index's 188.15% return. However, the other three megabanks all trailed the index. Wells Fargo & Co. returned 142.49%, while Bank of America was barely positive at a 6.85% return. Citigroup Inc.'s stock still hasn't recovered from the credit crisis and is down 60.61% over the last decade.
Meanwhile, Amazon's and Apple's shares have skyrocketed. Apple's stock is up 1,015% over the last 10 years and Amazon's shares have returned 2,419%.
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