Google parent reaches $1 trillion valuation for the first time
Alphabet joins the club of four US companies that have previously reached the milestone
Alphabet Inc, the parent company of tech giant Google, has hit a $1 trillion (£765,000 billion) market capitalisation for the first time in its history following the rise in the price of it shares.
The company has joined the club of major US companies that have previously crossed this line. Tech giant Apple was the first to reach the milestone in 2018, and then Microsoft and Amazon followed. However, the e-commerce giant failed to keep capitalisation at this level, with its market cap currently hovering around $930 bn.
Alphabet Inc. (GOOG) shares have been surging throughout the week, reaching $1,451.70 as of the market close on Thursday, January 16.
Over the last 12 months Alphabet shares have risen by 21 per cent. Its stock has outperformed the Nasdaq, which has gained 17 per cent in the same time.
Google has recently faced major changes, including the total restructuring of its business model. Alphabet Inc. was created in 2015 as Google's parent company. It was controlled by Larry Page and Sergey Brin, who initially founded the iconic search engine in the late 1990s.
However, in December 2019 both co-founders announced their decision to step down, with Google CEO Sundar Pichai named as Alphabet CEO as well. Meanwhile, Page and Brin decided to stay as board members.
As CNN Money wrote earlier, 46 analysts out of 37 that follow Alphabet are now suggesting that investors buy Alphabet shares instead of selling them.
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