Alphabet, Google’s parent body, has become the fourth US company to hit the $1 trillion market capitalisation. It hit this number just before markets closed on Thursday, ending the day’s trading at $1,451.70 per share, up 0.87 percent.
Alphabet joins the league after the likes of Apple Inc., Amazon.com Inc. and Microsoft Corp. as the only firms to reach the threshold during intraday trading. Apple and Amazon accomplished the feat in the summer of 2018, while Microsoft hit $1 trillion for the first time in April of last year. Amazon never closed above $1 trillion and has fallen well behind Apple and Microsoft, which have rocketed past that level recently.
According to WSJ, “The massive gains for technology stocks come with Silicon Valley companies ascending to the forefront of the world economy and flexing their muscles in new arenas such as health care and transportation. Despite concerns about stricter regulatory scrutiny, the biggest technology companies have continued soaring in value, highlighting how investors favor firms that steadily improve sales in a world with tepid economic growth and low interest rates.”
Alphabet’s shares have been on the upward swing since Larry Page and Sergey Brin announced last month that they were stepping down for Sundar Pichai to become the CEO of both Google and Alphabet.
Alphabet is billed to report 4th-quarter earnings on February 3rd, and Wall Street analysts are expecting it to report revenue of $46.9 billion, a year-over-year uptick of almost 20 percent.
Who will be the next company? Will it be Facebook, which, as of the closing bell Thursday, was at about $620 billion?
Let’s wait and see.
1 Comment
Pingback: Alphabet hits $2 trillion in market value - Innovation Village | Technology, Product Reviews, Business