Amazon Jumps to Elite Club as Fifth Company Tops $3 Trillion

Amazon has become the fifth company to reach a market value of $3 trillion. The e-commerce giant's shares rose as much as 5.3% on August 3, adding to last week's rally after its second-quarter earnings showed accelerating cloud-computing revenue. This milestone comes just over two years after Amazon first hit $2 trillion in June 2024.

The firm has been recovering from a selloff that saw its stock sink nearly 18% between its May 6 record and the three-month low it hit last month. Investors had grown concerned about AI spending, but this worry was eased by Amazon's report of its fastest AWS revenue growth since 2021.

Amazon joins Nvidia Corp., Alphabet Inc., Microsoft Corp., and Apple Inc. as the only companies to have reached a market value of $3 trillion. Wall Street remains bullish on Amazon's long-term prospects, with an average analyst price target calling for a 14% increase in stock value over the next year.