Top 3 Women-Run Companies to Invest in
Women play a pivotal role in our global economy as they account for nearly 48% of the global workforce. Each year, March 8th commemorates the social, economic, cultural, and political achievements of women during International Women’s Day (also referred to as IWD). The goal of International Women’s Day is to promote and recognize the need to embrace gender equality and highlight the challenges that still exist.
Investors carefully select the companies in their portfolio based on their profitability, potential growth, or the value they bring to society. While male CEOs greatly outnumber female CEOs (less than 5% of the largest global companies are run by women), there are several powerful companies that are run by women CEOs. Here are three of the best women-run companies to consider adding to your portfolio.
1. General Motors (GM)
For decades, General Motors (often referred to simply as GM) has been a powerhouse in the American “Big Three” automakers. Globally, GM ranks among the top 10 automobile companies in terms of total vehicle sales and revenue. General Motors has been led by CEO Mary Barra since 2014. The company has a market capitalization of over $54 billion.
Investors will want to watch GM over the next few years as they position themselves to address the increased demand for electric vehicles. Despite EVs only making up about 2% of their new car sales today, 2022 was their highest year for electric vehicle sales ever. According to some analysts, GM is expected to stay on pace with the rest of the automotive industry with an expected annual growth rate of over 3%. As a bonus to investors, the company pays a small dividend of approximately 0.8%.
2. CVS Health (CVS)
It’s no secret that the global healthcare industry is expected to grow exponentially over the next few decades. Healthcare sector growth is predicted to reach an annual growth rate of over 7% and should outperform the market average.
Investors looking for a healthcare industry company should look no further than CVS Health. Headed by CEO Karen S. Lynch, the company owns a chain of over 10,000 pharmacy stores across the United States. Despite a rocky year in 2022 for many companies, CVS Health produced double-digit growth bringing in over $4 billion in profit. The company also pays investors a dividend of approximately 3%.
3. Duke Energy (DUK)
Last year, energy prices surged as inflation peaked around the globe. Fortunately, energy companies that provide electricity to homes and businesses saw little negative impact as electricity is an essential part of life. It’s estimated that the demand for electric energy will increase steeply as consumers look for alternatives to fossil fuels. One projection shows that electricity demand in the United States and United Kingdom will double by the year 2050.
One woman-led energy company in North Carolina is positioned to take advantage of this growth. Led by CEO Lynn Good, Duke Energy is one of the largest energy companies servicing over 8 million people in the Eastern United States. Duke Energy generates about $22 billion in revenue each year and pays a generous 4.2% dividend.
Supporting Businesswomen Across the Globe
These three companies represent a small percentage of the fantastic investment opportunities in women-run businesses. Generally, Finding the right investment for you will require careful technical analysis. The good news is that there is technology available such as AI equity analysis that can be leveraged to quickly and effectively identify companies that are positioned for growth. With this type of innovation, investors can capture the opportunities to support these powerful women CEOs across the globe.