Big tech continues to score big on the stock market, despite (or perhaps even thanks to) the ongoing global pandemic. Alphabet, best known for managing Google, has had a particularly solid year, and climbed to a market value of $2 trillion this Monday. We doubt Sergey and Larry saw this coming back when they were starting up the search engine in their Stanford dorm rooms.
Google gangbusters
Alphabet shares the monumental valuation with the two other members of the $2 trillion club, Apple and Microsoft. Microsoft joined the club this year too. According to Bloomberg, Alphabet hit its $1 trillion valuations just last year, so the rate at which it’s climbed since then is almost inconceivable.
The company’s growth has largely been spurred on by investments into Google’s advertising business. That’s where internet and social media money is after all. Just ask Zuckerberg.
Alphabet reported some of its most impressive financials ever in Quarter 3 of this year, managing to beat analysts’ estimates. Again, this is thanks to the company’s focus on Google advertising.
Additional bolstering is thanks to increasing YouTube monetisation and engagement, likely due to everyone trying to ease the boredom of quarantine. Or the nihilistic dread. Probably both.
Alphabet is the top-performing company amongst the top 5 big tech stocks, the other four being Microsoft, Apple, Meta (formerly Facebook) and Amazon.
Google has experienced relatively rapid growth for its entire existence, so these numbers probably won’t be all that shocking to the higher-ups. It’s just business as usual for them.
