Amazon Inc. beats Alphabet Inc. for the first time to become the 2nd most valuable publicly U.S.-listed company.
The retailer giant took the 2nd place as the most valuable company on Tuesday, capping a year-long surge that has added about $3.5 billion to its stock market value.
A 2.7 percent rise in its shares brought the jump in the company’s shares over the past year to 85 percent, reflecting a re-rating of its prospects amid its relentless expansion beyond its core e-commerce business into new markets.
Specifically, the shares of Amazon finished up 2.69 percent at $1,586.51, for a market capitalization of $768 billion,
Meanwhile, Alphabet lost 0.39 percent, trimming its stock market value to $762 billion, as Wall Street worried about regulatory fallout following revelations that a political consulting firm had improperly obtained personal data on 50 million Facebook users.
Other Companies’ Revenue, Market Cap
Both Alphabet and Facebook dominate online advertising. Previously, they have faced government criticism for how they employ their user data.
Amazon’s stock surge has been bolstered by blazingly fast revenue as more shopping moves online and businesses shift their computing operations to the cloud, where Amazon Web Services leads the market.
Also, the retailer company beat Microsoft as the 3rd U.S. company by market capitalizations in February. Apple Inc. is currently the world’s most valuable publicly listed company, with a market capitalization of $889 billion.
Past stocks are clearly not a reliable predictor of future performance, and the surge in Amazon’s shares in recent years has been exceptional by most standards. However, if the company’s stock had kept growing on the trajectory seen over the past year, its market capitalization would have hit $1 trillion by late August.
Also, Apple’s market cap would reach $1 trillion around a month later if its stock price kept rising at the 25 percent pace seen over the past year. Alphabet’s stock has risen 4 percent so far 2018 and is up 26 percent in the past year.
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