Apple Becomes First Company to Reach $3 Trillion Market Value
Apple becomes first company to reach $3 trillion market value:
It's official.
Shares of Apple Inc rose as much as 3 percent on Monday to trade at $182.88 – enough to secure the iPhone maker the coveted crown of becoming the first publically traded company on the planet to cross the $3 trillion market capitalization mark.
To put that into perspective, Apple's value now surpasses the nominal gross domestic products (GDPs) of six of the world's top 10 economies including the United Kingdom, India, France, Italy, Canada and South Korea.
Apple's rise has been relentless in recent years. Back in August 2018, it became the first United States firm to surpass $1 trillion in market value. It blew past the $2 trillion mark only two years later in August 2020. And thanks to the turbo-charged pandemic appetite for tech shares, it took roughly 17 months for Apple to reach the $3 trillion mark.
Apple Becomes World's First $3 Trillion Company
Apple becomes world's first $3 trillion company:
A little over three years ago, Apple investors pushed the value of its shares above $1 trillion, making it the world's most highly valued tech company. Then, two years later, Apple stock rose so high that the company's value passed $2 trillion. Now, it's risen yet again, topping $3 trillion. As in $3,000,000,000,000.
Around 10:45 a.m. on Monday, Jan. 3, Apple stock hit $182.86 per share, which when multiplied by the 16.4 billion shares outstanding, values Apple at about $3 trillion. That's more than the value of AT&T, Boeing, Coca-Cola, Comcast, Disney, Exxon, Ford, Goldman Sachs, IBM, McDonald's, Morgan Stanley, Netflix, Nike, and Walmart -- combined. The largely symbolic milestone comes as Apple's struggled to keep up with near-record demand for its devices amid the pandemic.
[...] In October, the tech giant warned investors that it was struggling with supply chain disruptions amid the coronavirus pandemic, which at the time amounted to as much as $6 billion in lost revenue. "We are optimistic about the future, especially as we see strong demand for new products," Apple CEO Tim Cook told analysts on a conference call back then.
Apple's market value moment marks another reminder of the company's unlikely turnaround from near bankruptcy in 1997 to one of the most influential companies on the planet. Part of how the company did that was by creating mass-market products like the iPod music player, iPhone and iPad, which went on to become leading devices in each of their competing markets.
Also at Ars Technica and Washington Post
(Score: 3, Insightful) by PiMuNu on Thursday January 06 2022, @04:58PM (10 children)
> Apple's value now surpasses the nominal gross domestic products (GDPs) of six of the world's top 10 economies
Revenue is $365.817B.
GDP is more like revenue than market value, so the comparison between market value and GDP is a bad one.
(Score: 2, Insightful) by Anonymous Coward on Thursday January 06 2022, @05:07PM (9 children)
The market value of Apple is equivalent to 10 years of their current revenue, which is already likely a peak.
This is just more 'trick down' economics from the dudes jacking it at the top
As I'm sure most here know, Apple is not worth anywhere near that, it's valuation is likely to fluctuate a lot over the next 10 years, and if the past of other companies is any indication they could be bankrupt as easily as more wealthy in another 10 years.
(Score: 2) by PiMuNu on Thursday January 06 2022, @05:39PM (8 children)
Valuation is 10 years of revenue or 10 years of profit? Profit was only $35.174B (down by another order of magnitude, still healthy 10 % of revenue).
(Score: 0) by Anonymous Coward on Thursday January 06 2022, @07:35PM (1 child)
That valuation is way too high. You can get a risk free return of 2%, and a moderate risk return of 10%. Apple is returning 1%, and is certainly not risk free.
(Score: 0) by Anonymous Coward on Thursday January 06 2022, @07:42PM
You could currently get a risk-free return of 7.12% with Series I Savings Bonds. Because that is such a good deal, a legal individual can only buy $10k per year, and $5k extra if you play your cards right doing your taxes.
(Score: 2) by krishnoid on Thursday January 06 2022, @08:48PM (5 children)
This is where Price (per share)/earnings (per share), or P/E ratio comes in. Here's a few:
As you can see, as a measure of valuation (for successful companies), stock price/sh considered as a multiplier of earnings/sh can vary from meh to zomg.
(Score: 0) by Anonymous Coward on Thursday January 06 2022, @09:47PM (2 children)
As a passionate value investor, everything over 20 is already somewhat suspect for me. As I see it, there is more money than sense loose in our country, so I'm staying with investments in producing companies while avoiding big tech.
(Score: 2) by krishnoid on Thursday January 06 2022, @11:04PM (1 child)
If there's more money than sense loose in the country, wouldn't it be smarter to capture some of those loose funds [youtu.be]?
(Score: 0) by Anonymous Coward on Friday January 07 2022, @01:57AM
Perhaps, if that is what you want. My goals are to sustainably grow my capital, avoiding the hot air companies everyone else is creaming over. You also won't see me suck money off the government teat, even if the spigots are fully open.
(Score: 0) by Anonymous Coward on Friday January 07 2022, @04:15AM (1 child)
Tesla looks way over-valued, but are there other benefits? eg, do shareholders get a discount on a new Tesla or priority on waiting lists?
(Score: 2) by krishnoid on Friday January 07 2022, @08:42PM
According to this completely reliable source [washingtonpost.com], yes! But I'm not sure exactly what they are in Tesla's case.
(Score: 2) by MIRV888 on Thursday January 06 2022, @08:37PM
I just want to get this straight in my head. Apple's 'value' counting stocks and assets is over 3 trillion dollars.
The entire US government budget last year was 6.6 trillion.
Am I getting this right?
(Score: 1, Flamebait) by SomeGuy on Friday January 07 2022, @12:04AM (3 children)
And what do they produce? Toys for teenage girls.
I remember when people had just about had it with the Macintosh, simply because they could not run Microsoft Windows x86 productivity applications. Their best product was the II+. (Hooray for Woz) "Beleaguered" Apple should have just closed up shop. The switch to x86 CPUs at least let them be an ok clone maker, even if boring, lobotomized, and over priced.
Who the hell needs office equipment or tools to get actual work done? Lets make fruity stupid stuff instead and get rich doing that!
(Score: 0) by Anonymous Coward on Friday January 07 2022, @12:23AM (2 children)
Wow. I'm not much of an Apple fanboy, but your inability to recognize their superior technology is staggering. I'll help you do some research. Google:
BSD Unix
NextStep
Apple M1
Here's a better thought...how many Apple-centric IT environments get infected with Ransomware...hmmm...
(Score: 0) by Anonymous Coward on Friday January 07 2022, @12:38PM (1 child)
Security through obscurity doesn't last long.
https://www.cfisa.com/security-awareness-training-alert-apple-mac-computers-targeted-by-new-ransomware-attack/ [cfisa.com]
(Score: 0) by Anonymous Coward on Friday January 07 2022, @05:53PM
LOL...another fly-by-night security company in bed with anti-virus companies with the sole purpose of creating FUD in order to coerce Mac users into buying anti-virus.
They even tried to rip off the governments name: cisa.gov vs cfisa.com. Nice try. Let me know when an organization ACTUALLY gets impacted by this so-called mac ransomware.