For a short period of time today, Apple’s stock market valuation exceeded three trillion dollars. The tech company and iPhone manufacturer hit that valuation when it topped $182.856 a share on Monday, briefly reaching a new high at $182.88. By closing time, the stock had dropped back to $182.01. Apple’s shares rose $4.44 on the first trading day of the new year.
Apple became the first publicly traded U.S. firm to reach a value of one trillion in 2018
Tim Cook has done a good job adding value for Apple stockholders
The Journal’s iconic “Heard On The Street” column noted that it has taken nine months for Apple to tack on its latest trillion bucks in valuation even though the prospects for the company haven’t changed during that time period. In fact, the Journal mentions research firm Visible Alpha and its forecast that iPhone unit sales will rise only 1% this year compared with 24% last year.
Next stop for Apple: four trillion dollars?
Amazon is also expected to see its revenue grow 16% a year over the next three years compared to the aforementioned 5% for Apple. Apple’s products and services are doing quite well but the iPhone still makes up half of its revenue and has benefited from deals offered by the carriers looking to get more 5G phones into customers’ hands.
Apple certainly enjoyed a bountiful fiscal 2021 with revenue up 33% to $365.8 billion, meaning that the company took in one billion clams each and every day. That was a company record, by the way, and operating income soared 64% to $108.9 billion. This was the first time Apple produced a double-digit growth rate in three years.
Once Apple’s shares stabilize over three trillion dollars, it will be time to watch out for the rise to four trillion. However, one day the growth just won’t be there and then it truly will be the time to see what Apple has under its sleeves as the next big thing.
