Masters of the Universe: Apple First Company Worth $1 Trillion

Marcus Newton
August 4, 2018

Apple hit the $1tn mark on Thursday afternoon when its stock passed $207.05 per share.

Adjusted for splits, Apple's stock price has risen almost 40,000% since its initial public offering in 1980.

Apple's achievement seemed unimaginable in 1997 when the company teetered on the edge of bankruptcy, with its stock trading for less than $1. It's since fallen slightly, but not enough to knock Apple back down into the billions. There's no fundamental difference between Apple being worth $999 billion and $1.01 trillion.

Jobs, who died in 2011, was succeeded as chief executive by Tim Cook, who has doubled the company's profits but struggled to develop a new product to replicate the society-altering success of the iPhone, which has seen sales taper off in recent years. That was Chinese oil and gas giant PetroChina, which briefly topped $1 trillion in market value with its IPO in 2007, before the share price declined. The company owes its success to a number of new and novel products that not only revolutionized the technology industry but, in many ways, changed the entire world.

Apple has won the race to a $1 trillion valuation ahead of its so-called FAANG rivals (Facebook, Amazon, Netflix, Google).

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Apple's stock market value is greater than the combined capitalization of Exxon Mobil Corp XOM.N , Procter & Gamble Co PG.N and AT&T Inc T.N .

While that kind of innovation has yet to reach store shelves, Apple has consistently defied dour predictions.

"Alphabet's pace of growth simply isn't as impressive as Amazon's and Apple's".

Its stock surged to its biggest gain in a year and a half today, soaring above the $207.04 value required for Apple to become a trillion dollar firm. This is just the beginning of a new chapter for the company - one in which it will have to choose its priorities more carefully now than ever. As we pointed out yesterday, the valuation itself doesn't mean much, but it goes to show just how drastic of a turnaround Apple was able to make just a couple of decades after being on the brink of going under. Amazon had the second-largest U.S. market cap as of Wednesday, at roughly $872.5 billion.

Other reports by MaliBehiribAe

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