COVID boomtown: Silicon Valley company values soar, fueled by tech
Silicon Valley’s tech companies are more valuable than ever, a sign that the technology and life sciences industries in the region managed to prosper despite coronavirus woes that jolted the economy.
By GEORGE AVALOS |
gavalos@bayareanewsgroup.com | Bay Area News Group
PUBLISHED: July 16, 2021 at 5:45 a.m. | UPDATED: July 16, 2021 at 3:53 p.m.
SAN JOSE — Silicon Valley’s tech companies are gaining value at a dramatic pace, a sign the technology and life sciences industries in the region have managed to prosper despite coronavirus woes that jolted the economy.
Starting in late March 2020, when the stock markets reached their low points during the COVID-19 outbreak, through the end of June 2021, the completion of the most recent quarter, the combined market value of Silicon Valley companies has more than doubled...
The report measured the change in value for public companies in Santa Clara County, southern Alameda County, San Mateo County, and San Francisco. The survey period stretched from March 23, 2020 through June 30, 2021. The report was prepared by Rachel Massaro, director of research for the Silicon Valley Institute for Regional Studies.
During that stretch of slightly more than 15 months, the market value of public companies in those areas, roughly defined as Silicon Valley and San Francisco, soared 129.1%.
On the day of the market lows in late March 2020, companies in Silicon Valley and San Francisco plunged to a COVID era low of $5.5 trillion, derived from the combined value of these organizations.
By the end of the trading day on June 30 of this year, the combined market value of the companies in those regions had rocketed to $12.6 trillion.
Over the same 15 months, the value of the tech-focused Nasdaq Composite Index jumped 111.4%. The value of the broad-based S&P 500 increased 92%.