A major milestone is about to be reached by Meta Platforms, formerly known as Facebook, as it approaches the desired $1 trillion market cap. With an astounding 200% increase in share price in 2023, the IT giant’s market value has reached a current worth of $966.60 billion—just $33.4 billion short of reaching the trillion-dollar threshold.
If Meta reaches this valuation, it will become a member of an elite group of Big Tech behemoths, which includes Microsoft, Apple, Alphabet, Amazon, and Nvidia, all of whom have market valuations over $1 trillion. With a market capitalization of an astounding $2.93 trillion, Microsoft is the market leader.
Meta has ventured into the trillion-dollar market before. The business had an all-time high closing valuation of $1.08 trillion on September 7 of the same year, having previously crossed this threshold in June 2021. Problems emerged, too, as the market for electronic items soured when Covid-related limitations were loosened.
In 2022, Meta had a transformative period as a response to these issues. After the firm revealed a drop in Facebook’s daily active user base in February, it faced the greatest one-day wipeout in US corporate history. In November 2022, Meta made a calculated decision to start its first significant round of layoffs, eliminating 11,000 positions, and proclaimed 2023 as the “Year of Efficiency.”
The third quarter of 2023 saw Meta post strong results that surpassed analysts’ estimates, suggesting that the company’s efforts were worthwhile. The stock of Meta saw a notable 200% gain over the course of the year as a result of the market’s positive reaction, positioning it as the second-best performing firm on the S&P 500, after Nvidia.
As of right now, a MarketWatch computation indicates that Meta’s shares finished at $376.13 apiece, meaning that a closing price of $389.13 is needed to surpass the trillion-dollar threshold. According to the Bloomberg Billionaires Index, Mark Zuckerberg, the co-founder and CEO of Meta, has become the sixth richest person in the world with a net worth of $136 billion, a significant increase from his $48 billion appraisal at the beginning of 2023. This gain in share price has also greatly benefited Zuckerberg.