Move over, Apple: Google has just reclaimed the title of world’s most valuable company.
Shares of Apple briefly fell below $90 for the first time in nearly a year on Thursday, allowing Alphabet, Google’s parent company, to surpass it in terms of market capitalization, CNBC reported. At midday Thursday, Alphabet’s market valuation was $498 billion, compared to Apple’s $494 billion. Alphabet had previously overtaken Apple as the world’s most valuable company as recently as February.
Over the past six months, Apple shares have fallen by more than 20%. That dip is largely due to concerns about demand for the all-important iPhone. The company’s first quarter earning report showed its first-ever quarterly dip in iPhone sales since the smartphone was launched in 2007. Additionally, tech suppliers reportedly do not expect to receive as many orders from Apple in the second half of the year compared to last year.
“Certainly, nobody believes the iPhone 7 is going to have tremendously new features that makes everybody go out and want to buy a new phone,” UBS analyst Steven Milunovich told CNBC.
Apple is not the only tech company under pressure: Intel and Microsoft also posted disappointing quarters this year. Meanwhile, tech giants like Amazon and Facebook have reported strong earnings that have bolstered their founders’ multi-billion-dollar fortunes.
Still, Alphabet should not become complacent: Its earnings report last month missed analysts forecast and caused the stock to immediately plummet in value, by about 6% that same day, the New York Times reported.