Alphabet Joins The $1 Trillion Club

By Amit Chowdhry ● Jan 17, 2020
  • Google parent company Alphabet has become the fourth American company to hit the $1 trillion market valuation milestone

Google’s parent company Alphabet has joined the $1 trillion club based on the market valuation as the shares of the company hit a new all-time high. Alphabet is joining tech companies Apple and Microsoft in the $1 trillion club.

And this is the first time that three American companies have a value of $1 trillion or higher at the same time. Currently, the largest company based on the market cap is Dhahran, Saudi Arabia-based oil company Saudi Aramco at nearly $2 trillion.

Amazon was the second American company to join the $1 trillion club — which happened back in September 2018. But the stock price of Amazon dropped and now it is valued at about $924 billion. The leading American company is Apple at $1.4 trillion.

Due to optimism around phase one of the trade deal between the U.S. and China along with major fourth-quarter earnings results for tech companies, the stock market has been rising to record levels. The Dow, S&P 500, and Nasdaq have been closing at record highs this week.

Google has three classes of stock, including Class A (GOOGL) voting shares originally sold in the Google IPO, supervoting Class B shares owned by co-founders Larry Page and Sergey Brin, and nonvoting Class C shares that gives the control to the founders of the company.

In December, Google promoted its CEO Sundar Pichai to the CEO position of the parent company as Larry Page and Sergey Brin stepped back from their positions as the CEO and president, respectively.