Apple on Monday became the first company in the world to hit US$3 trillion (R48 trillion) in market capitalisation, thanks to investor confidence that the iPhone maker will keep launching best-selling products as it explores new markets such as automated cars and metaverse.
Apple’s value is greater than the US$2.76 trillion GDP of the United Kingdom but still short of the US$3.85 trillion GDP of Germany, according to World Bank data.
On the first day of trading in 2022, the company’s shares rose to US$182.88 in mid-day trading, a new record.
The world’s most valuable company is the first to reach the milestone as investors bet that consumers will continue to shell out top dollar for iPhones, MacBooks and services such as Apple TV and Apple Music.
Apple’s march from US$2 trillion to US$3 trillion in market value took about 16 months as its stock roared higher, leading a group of megacap technology companies that benefited as people relied heavily on tech during the coronavirus pandemic.
Meanwhile, the broader market was set to extend a recovery from the pandemic shock, led by Tesla Inc and followed by Apple and Nvidia.
Analysts expect demand for iPhones to remain strong in 2022, as Apple leads China’s smartphone market and more consumers subscribe its services.
Apple’s closest rivals are Microsoft, valued at $2.53 trillion at the end of 2021, Google parent company Alphabet, valued at $1.92 trillion, and Amazon, valued at $1.69 trillion.
-fin24
