Apple becomes the first company to hit $3 trillion in the market and then slips

Apple becomes the first company to hit $3 trillion in the market and then slips
Source: Reuters

On Monday, Apple Inc. became the first company to hit $3 trillion stock market value, before ending the day a hair below milestone, as investors bet the iPhone maker will keep launching best selling products as it explores new markets such as automated cars and virtual reality.

On the first day of trading in 2022, Apple shares hit an intraday record high of $182.88, putting Apple’s market value just above 3 trillion USD.

The stock ended the session up 2.5 percent at $182.01, with Apple’s market capitalization at 2.99 trillion dollars.

The world’s most valuable company reached a milestone as investors bet that consumers will continue to shell out top dollars for iPhones, Macbooks, and services such as Apple TV and Apple Music.

Jake Dollarhide, CEO of Longbow Asset Management in Tulsa, Oklahoma said,

“It’s a fantastic accomplishment and certainly worthy to be celebrated. It just shows you how far Apple has come, and how dominant it is seen as in the majority of investors’ eyes.”

Apple shared the $2 trillion market value club with Microsoft Corp, which is now worth about $2.5 trillion. Alphabet Inc, Amazon, and Tesla Inc have market values above $1 trillion. Saudi Arabian Oil Co is valued at about $1.9 trillion, according to Refinitiv

Scott Wren, senior global market strategist at Wells Fargo Investment Institute said,

“The market is rewarding companies that have strong fundamentals and balance sheets, and the companies that are hitting these sort of huge market caps have proven they have strong businesses and not speculation.”

Apple’s shares have climbed around 5800pc since co-founder and the former CEO Steve Jobs unveiled the first iPhone in January 2007, far outpacing the S&P 500’s gain of about 230pc during the same period.

Source Dawn