AppleInsider Staff
Alphabet, parent company of Google, Verily, Waymo and other firms, became the fourth U.S. company to reach a $1 trillion market capitalization on Thursday, just over a month after former Google CEO Sundar Pichai took the reins.
Shares of Alphabet hit $1,450.16 at the bell, with intra-day trading up as much as 0.8%, granting the tech giant a market cap of almost exactly $1 trillion.
Alphabet is the fourth U.S. company — and fourth tech sector stock — to hit the milestone after Apple first breached the $1 trillion threshold in August 2018. Amazon followed suit a month later, while Microsoft achieved the lofty valuation in April 2019.
Currently, Apple and Microsoft sit above the $1 trillion mark, while Amazon has since fallen below that line.
Alphabet derives most of its revenue from Google, which acts as an umbrella company for the firm's bread-and-butter advertising and search income, as well as gains from Android and YouTube. It is fitting, then, that the conglomerate reached today's high-water mark with former Google CEO Pichai at the helm.
According to CNBC, market analysts are bullish on Pichai, who was minted Alphabet CEO in December after co-founders Larry Page and Sergey Brin formally announced to step down from their respective corporate positions. Page was serving as Alphabet's CEO at the time.
Alphabet's efforts in the cloud are also beginning to pay off, with the company doubling its revenue run rate from $1 billion to $2 billion per quarter between February 2018 and July 2019, the report said. While not a segment leader, the firm is investing heavily in the space and expects similar revenue growth in 2020.
The company is due to report fourth quarter 2019 earnings on Feb. 3.
Charles Martin
Malcolm Owen
William Gallagher
Christine McKee
Wesley Hilliard
13 Comments
All Google do is copy Apple, they passed a trillion we'll pass a trillion /;)
Seriously though, it is pretty staggering to think Apple is almost at 1.5 $T in only months after passing 1T$. My best friend has a PhD in math and he hates the word 'exponential' being used incorrectly but I have to say ... in this case ...!
Seven tech companies, the “FAANTAMs” as I call them — Facebook, Apple, Alphabet, Netflix, Tesla, Amazon, and Microsoft — now account for close to one-fifth of the market cap, one-seventh of the profits, and 40% of the cash of the US stock market. Stunning.
Can you imagine the valuations if China was not a closed/protected market to most of them?
wow, amazing what being the global king of spam can achieve - supported by destroying markets, selling hate, violence, scams, malware, rape and the sexualisation of children.
yah for google, who never had to give a dollar back for being caught out making billons from the grotesque and sick.