(Reuters) – Amazon.com (AMZN.O) became the second most valuable publicly listed U.S. company on Tuesday, surpassing Google parent Alphabet Inc (GOOGL.O) for the first time.

FILE PHOTO – A view of the new Amazon logistic center with the company’s logo in Dortmund, Germany November 14, 2017. REUTERS/Thilo Schmuelgen

Amazon shares finished up 2.69 percent at $1,586.51, for a market capitalization of $768 billion, underscoring Wall Street’s confidence in its relentless expansion into cloud computing, groceries and other new businesses.

Alphabet lost 0.39 percent, trimming its stock market value to $762 billion, as Wall Street fretted about regulatory fallout following revelations that a political consulting firm had improperly obtained personal data on 50 million Facebook Inc (FB.O) users.

(GRAPHIC: Race for $1 trillion market cap – reut.rs/2FWeWZK)

Together, Alphabet and Facebook dominate online advertising. They have previously faced government criticism for how they employ their user data.

Amazon’s stock has surged 81 percent over the past year, through Monday, bolstered by scorchingly fast revenue growth as more shopping moves online and businesses shift their computing operations to the cloud, where Amazon Web Services leads the market.

“They’re using their cash flow to develop new businesses,” said Tim Ghriskey, chief investment strategist at Inverness Counsel in New York. “They could have Apple in their sights at some point.”

Seattle-based Amazon dislodged Microsoft Corp (MSFT.O) as the No. 3 U.S. company by market capitalization in February. Apple (AAPL.O) is the world’s most…

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