Despite Alphabet’s recent stock split, Larry Page, co-founder of the most popular search engine in the world, saw his fortune valuation fall below $100 billion.
Page is the seventh-wealthiest person in the world as of July 2022, according to the Bloomberg Billionaires Index, with a net worth of roughly $99 billion. Google’s search ranking algorithm, PageRank, is co-created by Page and bears his name. In 2004, he and co-author Brin won the Marconi Prize.
Amid unprecedented sell-offs on the Nasdaq, a market hub for significant tech stocks, the tech mogul has lost almost $30 billion this year.
The parent company of Google, Alphabet, saw its share price decline by 5% on Friday as investors remained uneasy. Investors’ responses are sympathetic.
What you should know
- Because of the disappointing second-quarter profit figures and the lack of outlook, Snap plummeted almost 30% before the market opened. When compared to analyst expectations of ($0.20), Snap’s Q2 EPS was ($0.02).
- Additionally, the revenue for the quarter was $1.11 billion rather than the $1.15 billion average projection. In Q2 2022, Snap reported 347 million daily active users (DAUs), an increase of 54 million from the previous quarter.
- Due to the blue-chip stock’s (GOOG) 20-to-1 split into two classes of shares on Monday, which resulted in a drop in share price from above $2,200 to $108 at the time of writing this report.
- The market capitalisation of Alphabet is unaffected by the stock split. The company is still one of the most valuable businesses on the planet with a value of around $1.5 trillion.
- Alphabet’s Google dominates rivals like Microsoft’s Bing or the privately held Yahoo!, which have market shares of just 3% and 1%, respectively, in internet search, with a share of 92%. Industry observers assert that Google just offers superior results due to its sophisticated algorithms built to rank websites by relevancy and quality.
- The blue-chip company has access to more user data because of its size. It can continuously improve its search algorithms and better match adverts with the most interested customers in a given good or service.
- The amount of money earned by Alphabet increased by 23% year over year to $68 billion, with Google advertising (which includes YouTube revenue) accounting for $54.6 billion, or 80%, of the total.