Alphabet Inc., the parent company of Google, is approaching a historic $4 trillion market valuation. The company is set to become only the fourth U.S. firm to reach this exclusive milestone.
This surge reflects a major comeback for the tech giant. Its stock has climbed nearly 70% this year, far outperforming other major AI players. The rally marks a dramatic shift in investor sentiment. Many previously feared that Alphabet had lost its AI advantage to competitors like OpenAI.
The company has successfully regained its momentum this year. It transformed its cloud business into a key growth driver and won strong reviews for its new Gemini AI model. A stake from Warren Buffett’s Berkshire Hathaway also boosted investor confidence. This endorsement drew significant market attention.
BREAKING: Alphabet stock, $GOOGL, surges over +5% in pre-market trade as AI stocks extend 2-day gains.
This makes Alphabet now a $3.8 trillion company, just 6% away from being larger than Apple. pic.twitter.com/UinSb0TaKK
— The Kobeissi Letter (@KobeissiLetter) November 24, 2025
The company’s shares also benefited from a favourable regulatory environment. Big Tech has largely avoided severe antitrust penalties despite ongoing legal challenges. However, the soaring valuation raises concerns about a potential market bubble. Some analysts warn that stock prices may be detaching from business fundamentals.
Despite these concerns, Alphabet remains well-positioned in the AI race. Its strengths include massive cash flow, custom AI chips, and a dominant search business already integrating AI features.
The company’s continued innovation and strategic execution are key to its current market success