Alphabet, parent of Internet search engine Google, reached the $ 2 trillion mark in capitalization value for the first time in its history on Monday, driven by a rebound in spending on digital ads and the growth of its business in the cloud. .
Its shares rose as much as 1.2% during market trading to an all-time high, extending its gains for the fifth consecutive session.
However, at the end of the day, Alphabet titles moderated their gains closing with a slight rise of 0.12%, ending with a market value of 9.98 billion dollars.
The advance at the beginning of the day of the price of Alphabet titles, placed the company momentarily within the “exclusive club” where only Microsoft and Apple are located. Alphabet had reached the $ 1 trillion level in January 2020.
“It’s just a number, but I think it shows that these are leading companies,” said Kim Forrest, founder and chief investment officer at Bokeh Capital Partners, as quoted by Bloomberg.
“It really is that simple, that the market rewards its growth and growth prospects with great valuations,” he added.
Two weeks ago Alphabet reported that its third quarter sales reflecting strong spending from advertisers.
Their results were “among the most impressive seen in recent years in the face of major headwinds,” Evercore ISI analyst Mark Mahaney wrote in a note.