Apple market capitalization has surpassed $3 trillion, making it more valuable than all of the cryptocurrencies put together
Apple's market capitalization has surpassed $3 trillion, making it more valuable than all of the cryptocurrencies put together
Apple's stock price reached $182.88 in midday trading on Monday, making it the first publicly traded company to do so. The company became the first to do so when its share price reached $3 trillion.
As a result of this achievement, Apple, the maker of the iPhone, Mac computers, and the Apple watch, has risen to the top of the list of the world's most valuable publicly traded companies.
Today, the company is worth more than the sum of all the world's cryptocurrencies combined, according to market capitalization estimates. According to Coinmarketcap.com, the total market capitalization of cryptocurrencies is currently $2.2 trillion.
Currently, Apple's net worth exceeds the GDPs of India ($2.9 trillion), France ($2.9 trillion), and Russia ($1.6 trillion), all of which are developing countries.
Apple's market capitalization has more than tripled to $3 trillion in less than four years, indicating that the company is doing well. In August 2018, it had a market capitalization of $1 trillion, and two years later, in August 2020, it became the world's first company to have a market capitalization of $2 trillion.
Apple is not the only company with a market capitalization of a trillion dollars. Microsoft, with a recent market capitalization of $2.57 trillion, is the only other company with a market capitalization greater than $2 trillion and the second-largest corporation by market value, having seen its stock price rise by 58 percent in 2021. Microsoft is the only other company with a market capitalization greater than $2 trillion and the second-largest corporation by market value.
With market capitalizations greater than $1 trillion, only three other companies are in the top ten: Alphabet, Amazon.com, and Tesla.
Apple's services division generated more than $18 billion in revenue last quarter, despite the fact that the iPhone remains the company's most profitable product. The company's services division increased 25.6 percent year over year in the last quarter.
Apple posted fiscal fourth-quarter revenues of $83.4 billion at the end of September 30, representing a 29 percent increase over the prior quarter. Sales of iPhones accounted for $38.9 billion of this total, representing a 47 percent increase year on year, and service revenue accounted for $18.3 billion, representing a 26 percent increase.
This quarter, Apple sold $9.2 billion in Macs, $8.3 billion in iPads, and $8.8 billion in wearable technology such as the Apple Watch and AirPods, for a total revenue of $19.2 billion.
Justifications for the expansion
Since Tim Cook became CEO, Apple's stock has increased by a whopping 1,474 percent. Cook is the company's largest shareholder, with a nearly 94 percent stake in its market cap.
There are several factors contributing to Apple's recent gains, including increased demand for the company's most recent iPhone.
Analysts praised the iPhone 13 series for being a step forward, but not as revolutionary as the iPhone 12, which was the first smartphone to include a 5G connection and was released in September.
In contrast, they appear to have underestimated demand for the iPhone 13, just as they did with the iPhone 11. Chinese consumers have shown exceptional enthusiasm for the new phones, laying the groundwork for a significant earnings surprise in the December quarter.
Apple has proven to be a safe haven for tech investors, with demand for both Macs and iPads increasing in recent years. While the rest of the world is struggling to get back to normal, demand for Apple products has remained high.
During this time, Apple has pursued a shareholder-friendly strategy of aggressively repurchasing its own stock, which has contributed to the recent rally in the stock price.
