(Finance) – The business world is constantly evolving and, despite fears of a recession, 2023 was a good year for the capital market globallywhich recorded a average annual return of approximately 12% from 2019 to 2023, up compared to 7% in the previous five years. The the leap was driven above all by technology and related companiesthanks to the implementation of innovative tools such as generative artificial intelligence.
These are the first results of the study Value Creators 2024 by Boston Consulting Group (BCG)arrived at 26th edition. The report which every year analyzes the total shareholder return (TSR) of almost 2,500 companies around the world in 35 sectors from 2019 to 2023 to draw up the ranking of companies and sectors that record strong and sustainable performances.
“The extraordinary success of the technology sector reflects theacceleration and adoption of emerging technologies such as GenAIhighlighting a trend that goes beyond simple post-recession recovery and brings about a radical transformation in the very basis of our industrial and commercial fabric.” He observes Fabrizio Pessina, Managing Director and Senior Partner of BCG. “Looking at the future, companies will have to focus on their ability to innovateas well as on cost efficiency, to maintain investor confidence and support the growth of its TSR in a market that shows increasingly higher expectations.”
In the current panorama they have particularly stood out technology-based companies, in particular hardware manufacturers, with a median TSR of 27% per year from 2019 to 2023. Other digital giants such as NVIDIA and Applethe latter with a market capitalization that reached $3 trillion at the end of 2023, software makers such as ServiceNow and Shopify, electric car giants such as Tesla and BYD, and e-commerce giants such as PDD and Mercado Libre.
Looking at specific geographies, the ranking is dominated by Asia-Pacific companies, holding 51 positions among the top 100 Value Creators in the world and they cover the top 10 positions in the various sectors analyzed in 39% of cases. The large number of leading companies in technology and other highly ranked industries, as well as more favorable macroeconomic conditions, have also allowed North American companies to expand their representation in the rankings. These companies indeed employ 38 positions among the top 100 Value Creators, compared to 27 in 2023. Furthermore, they are strongly present in the individual top ten of the various sectors analyzed (they hold 41% of the top positions versus 38% in 2023). European companies, on the contrary, remain underrepresented: despite being worth 20% of the overall sample, they are present in only 9 places among the top 100 Value Creators and are barely present in the top ten of the various sectors (13%).
In top ten specific for industry there are also some Italian excellences: Ferrari is among the top 10 Value Creators globally in the automotive sectoramong the top 10 in the fashion & luxury sector we find for example Brunello Cucinelli, UniCredit is among the top 10 in banking, INWIT in the top ten of telcos.