Amazon is bigger than Microsoft for the first time

  • Amazon‘s market value passed that of Microsoft for the first time Wednesday.
  • Amazon is now the third-largest company in the United States.

Shares of Amazon rose 2.57% Wednesday, sending its market value higher than Microsoft for the first time. The e-commerce behemoth is now the third-largest company in the US, behind only Apple($US849.24 billion) and Google parent Alphabet($US744.73 billion), according to Markets Insider data.

Amazon shares closed Wednesday’s session at $US1,451, resulting in a market cap of $$US602.46 billion – 2.7% larger than Microsoft’s $US700.56 billion.

Shares of the 23-year-old Amazon have far outpaced those of the 43-year-old Microsoft in the past year, rising 72% compared with 41%. The rise has made CEO Jeff Bezos the world’s richest person, a title he stole from Microsoft cofounder Bill Gates.

If Amazon continues to rise as high as Wall Street’s average price target – $US1,655 according to analysts polled by Bloomberg – it could easily pass Alphabet in terms of market cap.

NOW WATCH: Money & Markets videos

Business Insider Emails & Alerts

Site highlights each day to your inbox.

Follow Business Insider Australia on Facebook, Twitter, LinkedIn, and Instagram.