Google’s parent company Alphabet reaches $1 TRILLION valuation
- The company’s share price closed at $1,450 on Thursday, bringing its market capitalization across the $1trillion threshold
- Only Apple, Microsoft and Amazon have reached the milestone in the US
- It comes amid a period of senior leadership changes at Google; Sundar Pichai, Google’s CEO, ascended to become CEO of the parent company
- Analysts are optimistic about Google’s focus on its cloud storage systems
Google’s parent company Alphabet became the fourth US company to be valued at $1trillion on Thursday.
The company’s share price soared throughout the day and closed at $1,450 – its highest ever.
It follows in the footsteps of Apple, Microsoft and Amazon which all reached the milestone last year.
Amazon’s market capitalization has retreated back down since then but both Apple and Microsoft remain valued at more than $1trillion.
Alphabet’s market cap reached $1trillion on Thursday as its share price soared to a new high
The valuation marks a strong start to the year on Wall Street and is indicative of the unprecedented strong streak the markets have enjoyed over the last year.
Sundar Picahi ascended from CEO of Google to CEO of Alphabet late last year
Experts say Alphabet’s increased strength is down to solely to Google and how ubiquitous it has become.
‘Google is one of those critical, important leaders in multiple areas.
‘You almost can’t live your life without Googling things,’ Michael Lippert of the Opportunity Fund, told The Wall Street Journal.
The landmark valuation comes after a period of restructure within the highest levels of Google’s executive leadership.
In December, founder Larry Page announced he was stepping down as CEO, as was co-founder and president Sergey Brin.
Sundar Pichai – who had been Google’s CEO – ascended to become CEO of Alphabet.
Analysts are also optimistic about the future of its cloud service.
The company has bolstered its sales force and is aggressively working towards its Google Cloud Health systems.