Black Owned Publicly Traded Companies in the US Stock Market

You can find several Black-owned publicly traded companies listed on the US stock market, offering a range of investment opportunities.

These companies have made significant contributions to the US economy and have paved the way for future generations of entrepreneurs.

According to the article, some of these companies include McDonald's, which was founded by Colonel Harland Sanders and has a market capitalization of over $200 billion.

McDonald's is one of the largest fast-food chains in the world, with over 38,000 locations in more than 100 countries.

Black-Owned Businesses are a vital part of the US economy, with 96% of them being nonemployer firms, meaning they have no paid employees and are subject to federal income tax.

These small businesses are often community-based, providing local services or social services, which has a long history in the African American community.

A third of the top Black-owned public companies are in the healthcare sector, which is not surprising given the historical context of segregation.

The National Minority Supplier Development Council (NMSDC) defines a minority business enterprise (MBE) as a business that is at least 51% owned by minority individuals.

To be considered a Black-owned business, the owner must be a U.S. citizen of African descent, which includes both African Americans and African immigrants.

RLJ Lodging Trust, one of the largest publicly owned Black businesses, reported annual revenues of $1.33 billion in 2023.

There are several investment opportunities available to support Black-owned businesses, including fintech and blockchain, peer-to-peer lending, private equity and venture capital, and stock of publicly traded companies.

Investing in Black-owned stocks can help close the racial wealth gap and revitalize the Black economic ecosystem.

Here are some key statistics about Black-owned businesses:

These statistics highlight the importance of supporting Black-owned businesses and investing in their growth and success.

There are more Black-owned publicly traded companies than ever before, but we're still underrepresented. According to a recent report, Black-owned businesses account for only 4.3% of all businesses in the U.S., and only 0.4% of all businesses are publicly traded.

In fact, there are currently six Black-owned public companies in the U.S.: RLJ Lodging Trust, Urban One, Broadway Financial Corp., Carver Bancorp, Axsome Therapeutics, and American Shared Hospital Services. Some Black-owned companies that were previously publicly traded are now subsidiaries of other businesses, such as Ping Identity and Global Blood Therapeutics, which was acquired by Pfizer in October 2022.

The largest Black-owned public company is RLJ Lodging Trust, with total assets of $4.92 billion as of December 31, 2023.

Here are some of the biggest publicly traded Black-owned businesses, organized by total assets from highest to lowest:

Investing in Black-owned stocks can have two major advantages for investors: diversification and the potential for strong performance. According to Kenneth Chavis, a certified financial planner and senior wealth advisor, small companies are often known for their growth potential, and investing early can yield significant returns.

Investing in Black-owned businesses can be a great way to support the community and create a brighter future. There are only a handful of Black-owned stocks listed on public exchanges, making it difficult to build a portfolio without research and expertise.

You can use mutual funds or exchange-traded funds that track indexes like the Morningstar Minority Empowerment Index, which provides exposure to companies that meet the NAACP's guidelines. All net advisory profits from the fund's management fee will be donated to the NAACP once operating expenses are covered.

Investing early in Black-owned businesses can yield significant returns, and you can keep an eye on Initial Public Offerings (IPOs) and direct listings of Black-owned companies.

There are only a handful of Black-owned stocks listed on public exchanges, making it a challenge to build a portfolio.

Investing in minority empowerment ETFs is a viable option, as they track specific indexes and provide exposure to companies that meet certain guidelines.

The NACP ETF, for example, tracks the Morningstar Minority Empowerment Index and provides exposure to companies that meet the NAACP's guidelines.

This fund also donates all net advisory profits from its management fee to the NAACP once its operating expenses are covered.

Investing in minority empowerment ETFs can be a convenient way to support Black-owned businesses without requiring extensive research or expertise.

There are 161,031 Black-owned employer businesses in the United States, making up a small fraction of the total 5.9 million employer businesses in 2022.

RLJ Lodging Trust, one of the largest publicly owned Black businesses, reported annual revenues of $1.33 billion in 2023.

Only seven Black-owned companies were listed among 4,300 publicly-owned companies in America in 2022, but that number has grown since then.

Here are some publicly traded Black-owned or led companies that reported their earnings for the fourth quarter of 2022:

Urban One, Inc. and American Shared Hospital Services will share their Q4 earnings and 2022 total earnings in the month ahead.

To research Black-owned publicly traded companies, start by checking the executive board to see if there's a Black CEO or president.

The National Minority Supplier Development Council (NMSDC) states that ownership by minority individuals means at least 51% of the business is owned by such individuals.

Look for companies that are transparent about their ownership, as some may explicitly state how many Black-owned public companies they are.

For our definition, we included companies with a Black CEO or president, as well as those with majority Black ownership.

The NMSDC doesn't explicitly state how many Black-owned public companies there are, but you can find this information by doing your own research.

To invest in a Black-owned publicly traded company, you need to look for companies that are at least 51% owned by Black individuals or have a Black CEO or president. The National Minority Supplier Development Council defines minority ownership as 51% or more.

Researching Black-owned businesses can be a good starting point. The National Minority Supplier Development Council states that ownership by minority individuals means the business is at least 51% owned by such individuals.

You can find Black-owned public companies by looking at their executive boards. Many companies are transparent about who is on their executive board, making it easier to identify Black-owned companies.

For our definition, we included companies with a Black CEO or president, as well as those with majority Black ownership. This ensures that we're investing in companies that are truly Black-owned.

Investing in the stock market can be a great way to grow your wealth, but it's essential to diversify your portfolio by investing in companies from different industries and locations. Investing in Black-owned companies can have two major advantages: diversification and the potential for strong performance.

Diversification is key to reducing risk in your portfolio, and small companies are often known for their growth potential. In fact, research shows that over long periods of time, small companies have a high probability of outperforming the average large company or the broad market.

If you're interested in investing in Black-owned companies, start by identifying publicly traded companies that align with your investment goals and values. Keep an eye on Initial Public Offerings (IPOs) and direct listings of Black-owned companies, as investing early can yield significant returns.

Here are a few Black-owned publicly traded companies to consider investing in:

These companies operate in various industries, including real estate, media, and finance, making them a great addition to a diversified portfolio. By investing in these companies, you'll be supporting Black entrepreneurs and contributing to the growth of the Black community.