Alphabet, the parent company of Google, recently announced robust quarterly earnings, leading to a remarkable increase in its stock price. In after-hours trading, Alphabet’s shares surged by up to 13%, pushing the company’s market capitalization over the $2 trillion threshold.
This significant achievement places Alphabet among the elite “Magnificent Seven” tech giants, which includes Microsoft valued at $2.8 trillion, Apple at $2.6 trillion, and the chip manufacturer Nvidia, slightly over $2 trillion.
In the first quarter of the year, Alphabet reported a revenue of $80.5 billion, with a net income of $23.6 billion. The surge in stock price was further fueled by two major announcements: Alphabet intends to buy back $70 billion of its own shares, and for the first time, it plans to pay dividends, with a commitment to continue paying quarterly dividends in the future.
Investors reacted enthusiastically to the news, driving the stock price significantly higher. Alphabet’s strategic moves and strong financial performance highlight its continued growth and leadership in the technology sector.
