And while Amazon and Apple are now alongside one another in the $1 trillion category, look for Google parent company Alphabet and Microsoft to reach the monumental mark in the near future. The company's stocks crossed the $2,000 threshold for the first time on August 30.
Amazon has impressed investors by diversifying into virtually every corner of the retail industry, altering how consumers buy products and putting big pressure on many brick-and-mortar stores.
Its stock surged during morning trading on the Nasdaq, reaching the milestone when its share price hit $2,050.50 per share.
Amazon just became the second member of the trillion-dollar club. It also provides video streaming services and bought upscale supermarket Whole Foods. "Amazon's cloud business is an extra growth driver that Apple doesn't have", said Daniel Morgan, portfolio manager at Synovus Trust in Atlanta, Georgia who describes Amazon's cloud services as its "crown jewel".
For example, Amazon's lucrative cloud computing business is built on technology infrastructure that the company needed to run its own operations. Amazon shares first hit $1,000 on October 27, 2017.
Starting as a new way to sell books in the early years of the internet, Amazon has grown to an online behemoth and has changed the retail landscape across the world. In the second quarter, AWS booked $6.1 billion in sales (up 49%), and generated an operating income of $1.64 billion (up 79%).
Amazon reported almost $US53b in sales in the three months ended in June, with record quarterly profit of $US2.5b.
That may sound like a huge sum separating the two, but Amazon could actually surpass the iPhone maker in short order ー the stock's 74 percent gain this year is more than double that of Apple, and if shares of both companies keep the same pace, Amazon could close the gap by the end of the year.
Amazon now trades up 74.0 per cent for the year to date.