After Apple, two more “Big Tech” companies are about to reach the $2 trillion market value threshold, and they are none other than Microsoft and Amazon. Analysts are rooting for that to happen sooner rather than later.
On Monday, Microsoft’s shares leapt nearly 3% to 249.07, a claim at the S&P 500 index. That’s a new all-time high for the stock, taking out the previous high of 246.10 and topping even its value at the height of the 2000s dot-com boom. It also lifts the company’s value to $1.88 trillion.
Apple (AAPL) reached the $2 trillion market value threshold first, less than a year ago, on Aug. 26, 2020. That means it took about two years for Apple to hit $2 trillion in market value after reaching a $1 trillion worth on Aug. 3, 2018. Overall, it took Apple roughly 40 years to reach a trillion in market value.
Microsoft is next. Following a 12% rally this year, Microsoft is now the S&P 500’s second-most valuable member.
Amazon is right behind Microsoft in the queue. It’s only a matter of time for it, too, analysts say. S&P 500 analysts call for Amazon stock to surge more than 25% in the next 12 months to 4,043.50 a share. It closed Monday up 2% to 3,226.73. If analysts are correct, that will put Amazon’s value at $2.04 trillion in less than a year.
However, with a current valuation of only $0.66 billion, Tesla is expected only to be the seventh most valuable in the S&P 500 in 12 months.
Source: Investor’s Business Daily