Saudi Aramco reached about $2 trillion in market value on its first day of trading after its 2019 IPO.
Saudi Aramco began trading on the Saudi Stock Exchange, known as Tadawul, on December 11, 2019. Its shares opened above the initial public offering price, giving the oil company a valuation close to $2 trillion and making it the world’s most valuable listed company at that moment.
The IPO was a major part of Saudi Arabia’s economic reform plans. The government sold a small portion of the company while retaining overwhelming ownership. The offering also drew international attention because Saudi Aramco controls enormous oil reserves and is one of the largest energy producers in the world.
The company’s valuation has fluctuated with oil prices, production expectations, interest rates, and investor sentiment. The $2 trillion figure is therefore a market value at a specific time, not a measure of annual profit or the replacement cost of the company’s physical assets.