Google’s stock sheds market cap the size of Nike in one of Wall Street’s five worst drops ever

The selloff in Alphabet Inc. shares Wednesday resulted in the fifth-largest one-day decline in market value for any U.S. company on record.

Alphabet’s stock
GOOG,
-2.72%

GOOGL,
-2.83%
fell 9.5% in Wednesday’s action, wiping out $166.64 billion in market value for the Google parent company, according to Dow Jones Market Data. The decline in market cap is the largest one-day loss for Alphabet on record, though Meta Platforms Inc.
META,
-4.44%,
Amazon.com Inc.
AMZN,
-1.94%,
Apple Inc.
AAPL,
-2.77%
and Microsoft Corp.
MSFT,
-3.51%
all suffered worse losses in the past.

The company’s daily drop in valuation is more than the entire market capitalizations of each of Nike Inc.
NKE,
-2.74%,
Advanced Micro Devices Inc.
AMD,
-2.30%
and Walt Disney Co.
DIS,
-1.11%

The 9.5% fall in Alphabet Class A shares Wednesday made for their worst single-day percentage decline since March 16, 2020, when they shed 11.6%.

Read: Google earnings just crushed two big bullish hopes for Alphabet’s stock

The decline also marked the worst post-earnings one-day percentage decline for the Class A shares since July 18, 2008, when they dropped 9.8%, according to Dow Jones Market Data.

Alphabet late Tuesday beat overall revenue and earnings expectations, though the cloud-computing business underwhelmed and analysts left feeling less upbeat about the company’s margin potential going forward.

“Expectations were high heading into GOOG results, and while the top-line delivered in the most important areas, we wouldn’t be surprised if investors rotate a bit into other mega cap tech names near-term,” Barclays analyst Ross Sandler wrote following Tuesday afternoon’s earnings report.

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