In this article we are going to list the 5 biggest companies that don’t pay dividends. For a detailed coverage of this topic and a more comprehensive look, please head on over to the 15 biggest companies that don’t pay dividends.
5. General Motors Company (NYSE:GM)
Total revenue of the company in 2019 (in millions of dollars): 137,273
Total profits of the company in 2019 (in millions of dollars): 6,732
Total assets of the company in 2019 (in millions of dollars): 228,037
Total employees of the company in 2019: 164,000
It seems as if the Covid-19 pandemic spared no one, resulting in even this multinational vehicle manufacturer to suspend quarterly dividends and stock buybacks. This was only recently announced, with reports saying the decision is made as an attempt to preserve the company’s cash flow.
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4. Ford Motor Company (NYSE:F)
Total revenue of the company in 2019 (in millions of dollars): 155,900
Total profits of the company in 2019 (in millions of dollars): 47
Total assets of the company in 2019 (in millions of dollars): 258,537
Total employees of the company in 2019: 190,000
Despite standing as the top vehicle manufacturer in the world in terms of revenue, Ford Motors has suspended dividends as of March 2020 in light of the ongoing Covid-19 pandemic. According to the Wall Street Journal, this move could save the automobile giant up to 2.4 billion dollars annually.
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3. Alphabet Inc. (NASDAQ: GOOGL)
Total revenue of the company in 2019 (in millions of dollars): 161,857
Total profits of the company in 2019 (in millions of dollars): 34,343
Total assets of the company in 2019 (in millions of dollars): 27,909
Total employees of the company in 2019: 118,899
Google’s parent company is one of the many tech giants on this list of 15 biggest companies that don’t pay dividends. Some companies do not pay dividends because they cannot afford it- however, this is certainly not the case with Alphabet, generating almost 162 billion dollars in revenue in the last year. It may be argued that the reason behind not paying dividends is Alphabet’s consistent efforts in creating new, innovative projects such as self-driving cars and internet-wielding balloons.
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2. Berkshire Hathaway Inc. (NYSE:BRK.A)
Total revenue of the company in 2019 (in millions of dollars): 245,616
Total profits of the company in 2019 (in millions of dollars): 81,417
Total assets of the company in 2019 (in millions of dollars): 817,729
Total employees of the company in 2019: 391,500
Warren Buffet’s legendary company broke its own record for profit in 2019. According to reports, the cash pile was of over 128 billion dollars. Unlike many other companies, the multinational conglomerate believes it is providing more benefit to shareholders in the long run as he is making sure the company uses most of its profit to grow bigger and bigger.
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1. Amazon (NASDAQ:AMZN)
Total revenue of the company in 2019 (in millions of dollars): 280,522
Total profits of the company in 2019 (in millions of dollars): 11,588
Total assets of the company in 2019 (in millions of dollars): 225,248
Total employees of the company in 2019: 1,125,300
Topping the list of the 15 biggest companies that don’t pay dividends is none other than the extremely successful (and still growing) company Amazon. Unlike other businesses, the Seattle-based company’s profits have accelerated during the pandemic. According to reports obtained from Fortune 500, sales were up by 40 percent while profits doubled in the company’s second fiscal quarter. Instead of paying dividends, Amazon uses its cash flow to grow its business. If you want to learn more about Amazon, consider taking a look at how Amazon makes money.
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