Google just had its best month since 2004 : US Pioneer Global VC DIFCHQ SFO NYC Singapore – Riyadh Swiss Our Mind

Alphabet (GOOGL) stock just had its best month — up nearly 34% — since Google was still a recent IPO.

October 2004 was Google’s first real breakout month as a public company, coming only a few months after its Nasdaq debut.

Alphabet just had its best month since November 2004
Alphabet just had its best month since November 2004

The move helped define April’s tech-led market rebound, when the biggest stocks again did the heaviest lifting.

April added roughly $1.2 trillion to Alphabet’s market value, or just over 50 times Google’s IPO valuation. It’s a reminder that Google followed one of Wall Street’s rarest IPO paths: It launched, held, and never really gave investors the usual reset.

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Most IPOs don’t work that way.

Kathy Donnelly, co-author of “The Lifecycle Trade,” has said 91% of IPOs eventually undercut their first-day low.

That first-day low is an important line for IPO traders because it marks the point where early buyers are officially underwater. Once a new issue breaks below that level, the original debut story often gives way to a longer reset.

Google barely gave investors that chance.

The company went public in August 2004 at an IPO valuation of about $23 billion. By the end of April, Alphabet was worth roughly $4.65 trillion — more than 200 times that starting valuation.

That scale is what makes the April move stand out. Alphabet not only had a strong month, but added more market value in those 21 trading days than most companies in the world are worth.

And Alphabet is still acting like a leader.

October 2004 was Google’s first real breakout month as a public company, coming only a few months after its Nasdaq debut. REUTERS/Danielle Villasana/File Photo
October 2004 was Google’s first real breakout month as a public company, coming only a few months after its Nasdaq debut. REUTERS/Danielle Villasana/File Photo · Reuters / REUTERS

After the Iran war knocked stocks down a peg, Alphabet was among the first megacaps — along with Amazon (AMZN) and Nvidia (NVDA) — to break back to fresh records.

Apple (AAPL) is now trying to join that group after earnings, putting the megacap leadership trade back in focus.

But Alphabet got there first. It enters May as the year-to-date leader in the “Magnificent Seven,” up 22%, with a fresh record intraday high to start the month — its fourth of the year.

The next test is whether Alphabet can keep that lead as the rally moves from recovery back to record-chasing.

https://finance.yahoo.com/markets/article/google-just-had-its-best-month-since-2004-162717056.html