Microsoft has found itself in some very rare air. The software giant just became part of the $2 trillion club, seeing its market capitalization top that magical milestone on Tuesday.
How elite of a club is Microsoft in now? They became only the second American company to hit that high, joining Apple with their $2T status, and what’s really amazing is they were able to get there just over two years after passing the $1 trillion threshold.
Overall, the MSFT stock went up 1.1% Tuesday, landing at $265.51.
The only other global company that has ever passed $2 trillion in market cap is the oil company Said Aramco, which only went public back in 2019.
So how did Microsoft do it? The pandemic played a big part. Since so many people were spending time for work and play on their devises, the demand for Microsoft computers, gaming systems and their uber successful cloud platform soared. .
Since March of 2020, right at the start of the pandemic, Microsoft has seen its stock jump 64%.
Superstar CEO Satya Nadella said this in a statement. “Over a year into the pandemic, digital adoption curves aren’t slowing down. We are building the cloud for the next decade, expanding our addressable market and innovating across every layer of the tech stack to help our customers be resilient and transform.”
So what’s in front of Microsoft? Only a $240 billion or so gap between them and Apple. But they need to watch out for Amazon and Google, hot on Microsoft’s tail with valuations of $1.77 trillion and $1.67 trillion.