Google parent Alphabet’s market capitalization topped $1.5 trillion at Tuesday’s closing bell. It’s the first time since May 2022 that the tech giant has traded at that valuation. Alphabet, Apple, Microsoft, and Amazon are the four trillion-dollar US-listed companies. Loading Something is loading.
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Google parent Alphabet’s market capitalization hit $1.5 trillion for the first time in a year Tuesday, with the tech stock’s AI-fueled rally lifting it back into an exclusive club.
Shares jumped nearly 3% to trade at just under $120 at the closing bell, lifting the Mountain-View, California-based company’s total valuation to $1.521 trillion.
It’s the first time since May 2022 that Alphabet has been worth that much, according to data from CompaniesMarketCap.
The stock has rallied 35% so far this year after a dismal 2022 where it shed nearly two-fifths of its total value.
Alphabet has jumped 10% since it announced its artificial intelligence tool Bard on February 8 – even though a gaffe made by the chatbot in a promotional video wiped out $100 billion in market cap in a single day.
Techs have started 2023 on a tear with the rise of ChatGPT encouraging investors to pile into AI-adjacent stocks, with Nasdaq Composite up 18% year-to-date.
The sector has also benefited from traders’ expectation that the Federal Reserve will soon pause its war on inflation. Fixed interest rates mean high-growth companies can borrow money at a set rate, boosting the future cash flows that make up a core part of their valuations.
Alphabet is one of three $1.5 trillion US-listed companies, alongside fellow Big Tech giants Apple and Microsoft. Amazon is the only other firm with a $1 trillion market capitalization, per CompaniesMarketCap data.
Read more: Big tech stocks have started 2023 on a tear. Now they face a moment of truth.