Money For the Rest of Us · Wednesday, October 21, 2026
The host points out that the U.S. stock market exhibits very high concentration, with the top 10 companies accounting for 41 percent of the market and generating 36 percent of earnings. This concentration level is contrasted with the dot-com bubble era, where top holdings held a smaller share of index weight and significantly lower earnings contribution.
“41% of the U.S. stock market is made up of the top 10 companies. The S&P 500, this is a size-weighted type index, and so we have Very high concentration, close to 50% in just 10 names.”
“Now, if we look at the earnings contribution of those 10 names, they make up 36% of earnings.”