Blogs & Comment

Investor 500 Company Performance 2008 vs 2007

A quick distillation of some numbers from the December quarterly edition of the Canadian Business Investor 500 shows just how much the market went south in 2008. In December 2007, a company had to have at least $241 million in market capital to qualify. By the end of 2008, that number had dropped to $85 million. By January 8, the qualifying number had risen to about $96 million but you would need a dime and about four shares of Nortel to buy a cup of coffee. Here’s some other numbers from the two years that illustrate 2008 market conditions.
2008 2007
Average 1 yr. return (31.7%) 45.7%
Median 1 yr. return (39.3%) 6.2%
Companies with positive returns 52 300
Total Market Cap ($mil) $1,127,000 $1,793,400
Highest market cap ($mil) $50,468 $64,755
Average Market cap ($mil) $2,254 $3,587
The average return was very slightly better than the 33% decline experienced by the TSX composite in 2008.