Saudi Aramco became the first listed company to reach approximately $2 trillion in market value.
The milestone occurred in December 2019, shortly after Saudi Aramco began trading on the Saudi Exchange following its initial public offering. The company’s shares rose to the price that implied a valuation near $2 trillion, making the listing a major event in global financial markets.
Saudi Aramco’s importance comes from its enormous oil reserves, production capacity, and role in Saudi Arabia’s economy. Investors also consider the company’s dividend policy and the sensitivity of its earnings to oil prices.
The valuation was described as approximate because market capitalization changes continuously and the price briefly moved around the threshold. The company’s listing also made its financial information more accessible to public-market investors than before.