As not all brokers offer fractional shares of stocks, it's important for retail investors to know what stocks may be difficult to trade due to the high price of each share. These trading implications can matter even though stock price does not necessarily correspond to the value of a company. Because a company's total market capitalization is a product of both its share price and the number of shares issued, the stock price alone tells you little about how overvalued or undervalued a stock is.
There are the top 5 highest-priced stocks that trade in the U.S., as of Jan. 28, 2021, excluding those sold only on OTC markets.
- A stock price doesn't necessarily reflect the value of the company, since market cap multiplies stock price by the number of shares outstanding.
- Still, some companies have a low number of shares, and therefore a higher price per share in the market.
- Here, we list some of the highest priced stocks available on U.S. exchanges, although a company's value and share price must be analyzed using fundamentals.
- Stock Price: $348,222
- Market Cap: $536.9 billion
- Type of Company: Holding Company Conglomerate
Berkshire Hathaway has the highest-priced shares of any U.S. company, and is also one of the largest companies in the world, consistently ranking in the top 10 by market value. Berkshire was originally a textile company, but was bought by Warren Buffett and is now a holding company for his investments. Among its many holdings are the GEICO insurance company, the BNSF Railroad, and the Lubrizol chemical company. As its CEO, Buffett has famously resisted splitting Berkshire's shares, something companies normally do to make it easier to trade their stock. Buffett instead has kept the price high to make it harder to trade, and thus discourage short-term trading which would increase the stock's volatility. However, in 1996, Berkshire launched a new share class (BRK.B), which has a lower price. This allows people purchase much smaller chunks of the company. They currently trade for a much more accessible $230.95.
- Stock Price: $4518.21
- Market Cap: $16.9 billion
- Type of Company: Homebuilding and Mortgage
NVR is a homebuilder and mortgage banking company based in Virginia. Some of the company's subsidiaries include Ryan Homes, Fox Ridge Homes, and NVR Mortgage. NVR Inc. has also never split its stock.
- Stock Price: $3,237.62
- Market Cap: $1.6 trillion
- Type of Company: Online Retailer and Cloud Services
Amazon started as an online retailer of books, and expanded until it is now an online retailer for virtually everything. In addition to its enormous e-commerce business, Amazon has a dominant position in the cloud computer services industry with Amazon Web Services. Amazon is one of the handful of companies to exceed $1 trillion in valuation, and is consistently among the top 5 most valuable companies on earth. This enormous size is what lets it make this list despite having undergone 3 separate stock splits in the late 1990's which increased its share count 10-fold.
- Stock Price: $2049.37
- Market Cap: $11.5 billion
- Type of Company: Telecom Service Provider
Cable One is a provider of cable, internet, and phone services through its Sparklight and Clearwave brands. It has also never split its stock since it was spun-off from Graham Holdings Company in July 2015.
- Stock Price: $2034.1
- Market Cap: $77.2 billion
- Type of Company: Online Travel Agency
Booking Holdings is the world's largest online travel agency. It operates the Priceline.com, Booking.com, Agoda, OpenTable, RentalCars.com, Kayak, and Momondo Brands.