Amazon CEO Andy Jassy.
CNBC
Amazon Shares rose more than 3% in intraday trading on Wednesday, pushing the company’s market capitalization past $2 trillion for the first time.
As Amazon reaches this milestone, NVIDIA, apple, alphabet and MicrosoftEach has a market capitalization of more than $2 trillion. Investors have flocked to tech stocks recently as hopes for generative artificial intelligence have reached a fever pitch. Nvidia, which makes graphics processors for the servers that run large-scale AI models, has been one of the biggest beneficiaries, with its market capitalization soaring from $2 trillion to $3 trillion in just over three months.
Amazon shares have risen about 26% so far this year, but tech-heavy stocks have Nasdaq It rose about 18% over the same period.
The company released its first-quarter results in April, revealing that its Amazon Web Services business continues to recover from a recent slowdown caused by companies cutting back on cloud spending. Amazon executives also spoke at length about how AWS is poised to benefit from a surge in demand for generative AI services.
Investors also welcomed Amazon’s recent cost-cutting measures, which drove the company’s profit growth in the most recent quarter. Amazon Chief Executive Andy Jassy has been trying for years to rein in spending at the company, including mass layoffs that affected more than 27,000 Amazon employees.
It took Amazon more than four years to cross the $2 trillion milestone, with the company’s market cap reaching $1 trillion in 2020, just the second time in its history after first reaching that milestone in 2018.
