Fortune 100: Definition, Requirements, and Leading Companies

Comprehensive guide about the Fortune 100, detailing its definition, criteria for inclusion, and highlighting leading companies.

The Fortune 100 is an annual list curated by Fortune magazine that highlights the 100 largest companies in the United States by revenue. This prestigious subset is a component of the larger Fortune 500 list, which ranks the 500 largest U.S. companies. The Fortune 100 represents the top 20% of these enterprises, showcasing the dominant players in the American corporate landscape.

Criteria for Inclusion in the Fortune 100

Revenue-Based Ranking

The primary criterion for inclusion in the Fortune 100 is the company’s annual revenue. Companies across all sectors are considered, and their total revenue dictates their ranking.

Public and Private Companies

Both publicly traded and privately held companies are eligible for inclusion. The key factor is their revenue size, not their public or private status.

U.S. Operations

The companies must be based in the United States or have substantial operations within the country to qualify for the Fortune 100 list.

Leading Companies in the Fortune 100

Frequent Top Performers

Historically, the top positions of the Fortune 100 often feature major players like Walmart, ExxonMobil, and Apple—companies that consistently generate substantial revenue and exert significant influence in their respective industries.

Sector Representation

The Fortune 100 includes companies from a diverse range of sectors:

• Technology: Apple, Microsoft
• Retail: Walmart, Amazon
• Energy: ExxonMobil, Chevron
• Finance: JPMorgan Chase, Berkshire Hathaway

Historical Context of the Fortune 100

Origin and Evolution

The Fortune 100 list was first published in 1955 by Fortune magazine as part of the broader Fortune 500 list. Over the decades, it has evolved to reflect changes in the economy and shifts in the corporate world, maintaining its status as a significant benchmark for business performance.

Economic Impact

The companies listed in the Fortune 100 have a profound impact on the U.S. economy, often setting trends, driving innovation, and providing extensive employment opportunities.

Comparisons and Related Terms

Fortune 500

The Fortune 500 is a broader list comprising the 500 largest U.S. companies by revenue. The Fortune 100 is a more exclusive grouping within this list.

Global 500

In contrast to the U.S.-focused Fortune 500 and Fortune 100, the Global 500 list ranks the largest companies globally, offering a worldwide perspective on corporate giants.

FAQs

What is the difference between the Fortune 100 and the Fortune 500?

The Fortune 100 is a subset of the Fortune 500, consisting of the top 100 companies by revenue within the larger list of the 500 largest U.S. companies.

How often is the Fortune 100 list updated?

The Fortune 100 list is updated annually, based on the latest available financial data for the companies.

Can a company move between the Fortune 100 and the Fortune 500?

Yes, a company’s ranking can shift annually based on its revenue. A company might move up or down in both the Fortune 100 and the Fortune 500 lists.

Summary

The Fortune 100 list, compiled annually by Fortune magazine, recognizes the top 100 largest U.S. companies by revenue. It serves as a pinnacle of business achievement, reflecting significant economic influence across various sectors. The list not only highlights financial success but also suggests broader industrial trends and market dynamics.

References

1. Fortune Magazine website: Fortune 100
2. Smith, Adam. “Economic Impact of Top U.S. Companies.” Harvard Business Review, 2023.
3. “Historical Trends in Fortune 100 Rankings.” Journal of Corporate History, 2022.