Second Company Valued At Over US$ 1 Trillion
jeanniejeanniejeannie.co.uk BLOG 6th September 2018
THOUGHTS FOR THE DAY
Amazon becomes the 2nd US company to be valued above $1 trillion
It’s official: Amazon is the second American company to achieve a valuation of more than $US1 trillion.
Shares of the e-commerce giant gained about 2% in trading Tuesday to hit an all-time high of $US2,050.27. which multiplied by the current number of shares outstanding – 487,741,189 – puts the company’s book value just over the same symbolic milestone that Apple hit less than one month ago.
One trillion is a difficult number to imagine, regardless of what’s being counted. And even less so when it’s the value of a 24-year-old company with a plethora of business units in addition to its core retail focus. For context, the entire US stock market – the sum of all publicly traded American companies including Amazon – hit $US30 trillion back in January.
Even more telling is Amazon’s size when compared to the entire national stock markets of other countries. It’s book value is now greater than that of every stock listed in all but 13 countries, including those of Taiwan, Spain, and Italy, according to the CIA’s World Factbook.
For the fiscal year 2017, Amazon and its 560,000 employees around the world reported total sales of $US177.87 billion, netting it an adjusted profit of $US6.15 per share, according to the company’s annual report.
But of that massive revenue, retail is slowly beginning to take a backseat to other, higher-margin services. Amazon Web Services, for instance, a unit that provides hosting and cloud computing for other businesses, brought in $US20 billion of revenue in 2017.
Such astronomical growth from a small, Seattle book seller to one of the world’s biggest companies, has made its founder and chief executive, Jeff Bezos, easily the richest person in the world. The 54-year-old is now worth more than $US166 billion, according to Bloomberg’s billionaires index, on Tuesday. The riches have largely come through his ownership of 16.3% of Amazon’s outstanding stock. Bezos brought home an annual salary of $US81,840 in 2017, according to regulatory filings.
“This year marks the 20th anniversary of our first shareholder letter, and our core values and approach remain unchanged,” Bezos said in his 2017 letter to shareholders in March of this year.
INSPIRATIONAL QUOTE FOR THE DAY
Sometimes when things seem to be falling apart they may be falling into place.
GRANDAD’S ONE LINER JOKE OF THE DAY
Have you ever tried to eat a clock? It’s very time consuming.
Love is…growing even closer as the years roll by
TRACK OF THE DAY
Gasoline Alley – Rod Stewart
Gasoline Alley is the second solo studio album by the British singer-songwriter Rod Stewart. It was released in June 1970. It is included in the book 1001 Albums You Must Hear Before You Die. Originally released in the UK on the Vertigo label, it was re-mastered and re-issued in 2008 by a Russian reissue label, Lilith Records Ltd. It is a collection of covers combined with Stewart’s own compositions. Like many of Stewart’s solo albums from the period, it featured significant musical contributions from the other members of his band Faces.
Highest Chart Position: No.27 (For the album)
©2018 Phil M Robinson