Microsoft Passes Amazon for Second Most Valuable Company

Marco Green
October 29, 2018

Customers in Microsoft offices in San Francisco.

Over the last couple of months Amazon's finances have looked far more healthy, with its share prices reaching $2,000 for the first time in the end of August leading to it becoming the second company to reach the $1 trillion mark in early September. Microsoft has been named the most valuable company in US.

Microsoft surpassed Amazon to once again become the second most valuable USA company on Friday, the Financial Times reports. The market cap for Microsoft was the highest on Wall Street back in 1998 and through 2000 prior to the bubble bursting on the dot-com industry.

Amazon's shares dropped 7 percent, the most in almost three years after its holiday season sales outlook missed targets, fanning concerns that Wall Street's tech darlings are finally starting to face stronger competition.

Microsoft was down just 1.1% in a broad sell-off of tech that was driven as well by a weaker than had been expected quarterly report from Alphabet Inc. the parent of Google. Microsoft is second despite a modest 1.1 percent drop.

With Amazon's stock value getting hurt badly over the last few days, Microsoft has vaulted into second place when it comes to the list of most valuable companies. On Wednesday, Amazon's stock traded at the equivalent of 70 times expected earnings, its lowest level since 2011. Meanwhile, Microsoft has continued its momentum gaining close to 25 percent in 2018.

Would you like to get published on Standard Media websites?

Other reports by Click Lancashire

Discuss This Article

FOLLOW OUR NEWSPAPER