Alphabet Inc became the fourth company to be valued at US$4 trillion (A$5.97 trillion) on Monday (Tuesday AEDT).
Shares in Google’s parent company reached a peak of $334.04 in early trading, valuing the company at about $4.03 trillion, before easing to reduce the day’s gains.
Alphabet shares (NASDAQ: GOOG) ended $3.29 (1.00%) higher at $331.86, capitalising the company at $4.01 trillion, and rose further to $332.42 in after-market trading.
It joined three other members of the so-called Magnificent 7 technology stocks that have passed $4 trillion: Nvidia (NASDAQ: NVDA), Microsoft (NASDAQ: MSFT) and Apple (NASDAQ: AAPL).
This also marked a change in investor sentiment due to Alphabet’s expansion into artificial intelligence (AI) with its shares rising 65% last year as its cloud business grew strongly.
It followed news Apple had selected Google’s Gemini as the foundation for the next generation of its AI models and future versions of its Siri digital assistant.
"Of the Magnificent 7 stocks, it's the one name that has surprised us all over the last 12 months and they're making inroads beyond their traditional model," Ladenburg Thalmann Asset Management CEO Phil Blancato was quoted saying in a Reuters article.
"What I would give the company credit for is innovation, that's what they've done to separate them from a lot of other firms in recent days and you're seeing it in earnings data."
Apple and Microsoft have since slipped back below the $4 trillion valuation mark.
Alphabet has also been boosted by the adoption of Gemini across the technology industry and regulatory relief.
Samsung Electronics is reportedly planning to double the number of mobile devices it sells with Gemini-powered AI features in 2025 while in September a U.S. judge ruled against breaking up Alphabet, allowing it to retain control of its Chrome browser and Android operating system.
