Microsoft’s market capitalization hits $2 trillion
The market capitalization of the American technology company, Microsoft Corporation, has hit the $2 trillion mark, making Microsoft the second U.S public organization to do so.
Microsoft first hit the $1 trillion market capitalization market in 2019, 33 years after its IPO launched. The company’s new market capitalization achievement is credited to an increase in the interest of investors in technology companies following the COVID-19 pandemic.
The company’s meeting software and Xbox gaming feature came in handy for individuals who were working from home and those who needed an activity to kill time during the global lockdown period of the pandemic.
Microsoft also credits its success to the immense progress that its cloud-computing arm has made in a short period of time, producing 33.8% of the company’s net profit for 2020.
Financial analysts have predicted that Microsoft’s shares will surge higher due to more investors going short on it following the news about its new $2 trillion market capitalization mark.