Amazon became one of just a few companies globally valued at over $2 trillion on Wednesday (26 June) after its share price reached a high of $193.61.
After reaching the new market cap, the American multinational joins the ranks alongside Microsoft, Apple, Nvidia, and Alphabet as companies that are worth $2 trillion or more.
It has taken the company more than four years to reach this milestone, after hitting the market cap of $1 trillion in 2020. This was the second time they hit the benchmark, as they first reached it in 2018.
It’s not the first time the share price has risen recently either, with the price having surged by 27.5% so far this year.
Led by CEO Andy Jassy, Amazon has had a hugely successful year and it’s just had its most profitable quarter ever. On April 30, the company announced its better-than-expected earnings and revenue for the January to March period.
Operating income soared more than 200%, reaching $15.3 billion which far outpaces revenue growth. Net income more than tripled to $10.4 billion and sales increased by 13%.
A jump in profitability was expected for the second quarter too, but at a more measured pace.
Going by market capitalization, Microsoft is currently the world’s most valuable company, with a reach of $3.360 trillion. To put that in context that’s more than the GDP figure for the world’s sixth-largest economy – the UK.
Apple is close by in second position with a cap of $3.269. Nvidia and Alphabet (Google) take the third and fourth place and then comes in Amazon after it has just reached the $2 trillion mark.
The USA dominates on the list of the largest companies by market cap, with the top five all being based here. It’s only when you get to the sixth position that a country change up is seen, as the state-owned petroleum and natural gas company Saudi Aramco from Saudi Arabia takes the spot.
Meta comes in seventh, followed by the semiconductor manufacturing and design company TSMC from Taiwan. Berkshire Hathaway and Eli Lilly round up the list to ten.
Featured Image: Via Geograph
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