Google, which became the leading company in the Alphabet Inc. Holding was opened in 1998. Its founder was Sergey Brin. He, along with his friend Larry Page, began developing a convenient search engine that would index all pages of sites and provide users with the necessary search results.
At that time, the algorithms took into account only one page, and the results were given depending on the number of keywords found on it. Manipulating such an algorithm was easy enough. This led to the fact that the search turned into a painful process for the user. It became evident that the current algorithm needs to be radically revised. Two Stanford graduate students Sergey Brin and Larry Page undertook this task.
The new search engine was based on the use of a system of links adopted in the scientific community. The more other sites linked to this resource, the higher its credibility. The new system was named after the number of googles. However, this word was intentionally misspelled. The creators wanted their search engine to reflect the high processing capabilities of a large number of requests.
Initially, the service used the Stanford platform. In 1997, a new search engine, already famous, was moved to a well-known address. A year later, the company was registered in the garage of the girlfriend of the founders of the company, and even the first employee was hired – a classmate. A year later, it managed to attract investors. After some time, the search service began to bring in millions.
Google conducted an IPO in 2004. So far, this event has become the most significant issue of equity securities among Internet business projects. NASDAQ was chosen as the first exchange platform. At that time, the stock was trading at USD 85. The company managed to collect about USD 1.5 billion.
Over the first trading day, more than 20 million shares were sold. At the same time, the majority of the shares remained with the founders of the company. Among the shareholders, there were many Google employees. Three years later, the stock price reached USD 300.
The 2008 crisis hit Alphabet Securities hard. Their rate fell to USD 150. However, after the release of the Nexus One smartphone, stocks broke the previous record, exceeding the price of USD 300. Then a downtrend arose again, which was caused by the withdrawal of finances from the general stock market in the USA. In 2016, Alphabet equity securities again broke the record. Their price exceeded USD 1000. The reorganization of the holding did not negatively affect stock prices. Their value continued to grow. The shares kept the old ticker, and all their holders received updated securities in the ratio of 1 to 1.
Alphabet Holding maintains a reputation as an actual monopolist. The attendance of most resources does not fall. Revenues from advertising are only growing. Thanks to the dispersal of development centers around the world, independence from government actions and financial stability, Alphabet stocks are an excellent investment tool. These securities are referred to as blue chips. For most traders and investors, Alphabet stocks are a tidbit.