Amazon joins Apple to become the second company that has hit the trillion dollar stock market value.
The company had in two years expanded far beyond its bookseller beginnings, combining its world-spanning retail operation with less flashy but very profitable advertising and cloud computing businesses.
According Metro UK, the latest surge in value has prompted experts to say that it could become bigger than Apple.
Jeff Bezos, founder and CEO, to the top of Forbes’ billionaires list this year after seeing Amazon’s success over time.
The Seattle-based company has cemented customer loyalty through smart devices like Alexa and the Prime membership program that offers fast, free shipping as well as music and video streaming perks.
Shares in the world’s largest online retailer last traded up 1.4 percent at $2,041.68. Its shares then hit the $2050.2677 level to give its stock a value of $1 trillion. Amazon crossed the $2,000 threshold for the first time on Aug. 30 after doubling its price in just 10 months. Amazon shares first hit $1,000 on Oct. 27, 2017. It first reached $100 on Oct. 23, 2009. Apple was named as the first publicly listed US company to be valued at $1,000,000,000,000 on August 2.
An equity research analyst at Quilter Cheviot, Ben Barringer, said Amazon still has a long to way go, which means it could end up bigger then Apple. ‘Amazon has now become the second company to reach a trillion dollar valuation, following Apple in August this year,’ he said.
‘The difference between the two is that Amazon has room to grow within its two main businesses. ‘The company continues to experiment with new products and push into new geographies.
Although it is well established in the US and UK, it has huge scope to grow in the rest of Europe and Asia, especially India.
‘We expect Amazon to continue doing well going forward, with the company having a proven ability to expand into new markets.
While the share price has doubled over the past year, we are long-term believers in the case for the company, and continue to be confident in our positions.’
The race is now between Apple and Amazon to see who will hit the £2 trillion mark first as it seems Amazon has a faster growth.