Apple tops $4T market value — 3rd company after Nvidia, Microsoft | Latest Tech News
Apple topped $4 trillion in market value for the first time on Tuesday, the third Big Tech company to hit the milestone, as sturdy demand for its latest iPhone fashions allayed fears over its slow progress in the AI race.
The stock hit an all-time high of $269.89 before closing at $269, up 0.1%. That gave Apple a market value of $3.99 trillion.
Apple’s shares have gained about 13% since the new launches on Sept. 9, in a exceptional turnaround that pushed the stock into optimistic territory for the first time this yr.
Apple’s shares have gained about 13% since the new launches on Sept. 9, in a exceptional turnaround that pushed the stock into optimistic territory for the first time this yr. CEO Tim Cook with a buyer, above. Getty Images
“The iPhone accounts for over half of Apple’s profit and revenue and the more phones they can get into the hands of people, the more they can drive people into their ecosystem,” said Chris Zaccarelli, chief investment officer for Northlight Asset Management, forward of the milestone.
Apple shares had struggled earlier this yr on considerations over powerful competitors in China and uncertainties around how the company would navigate high US tariffs on Asian economies such as China and India, its major manufacturing hubs.
The latest smartphones, including the iPhone 17 line-up and the iPhone Air, wooed back clients from Beijing to Moscow within the first few weeks of launch, while the company has swallowed the high prices from the tariffs.
Analysts said the iPhone Air’s slim design might help fend off rivals such as Samsung Electronics, while early gross sales of the iPhone 17 outperformed its predecessor by 14% in the US and China, data from research firm Counterpoint confirmed.
The latest smartphones, including the iPhone 17 line-up and the iPhone Air, wooed back clients from Beijing to Moscow within the first few weeks of launch. Getty Images
Brokerage Evercore ISI expects the strong demand for Apple’s latest iPhones to help it surpass market expectations for the three-month period ending in September and issue upbeat forecasts for the quarter ending in December.
Apple is the third company to hit the $4 trillion mark after Nvidia and Microsoft. Nvidia at the moment tops the desk with a market value of more than $4.5 trillion.
Microsoft reclaimed its membership of the exclusive membership after shares rose 2.2% following a deal with OpenAI to enable the ChatGPT maker to restructure itself into a public benefit company.
Apple is the third company to hit the $4 trillion mark after Nvidia and Microsoft. Faisal Ramadhan/NurPhoto/Shutterstock
Apple’s cautious method to AI had fueled considerations it might lose out on what may very well be the industry’s largest growth catalyst in many years. Recent studies also point out that the company is dropping a quantity of its senior artificial intelligence executives to Meta.
The company was slow to roll out its Apple Intelligence suite, including a ChatGPT integration, while an AI improve to its voice assistant Siri has been delayed until next yr.
Apple has explored a number of tie-ups with Alphabet’s Gemini AI, Anthropic and OpenAI, according to studies.
“The lack of a well-understood artificial intelligence strategy is clearly one of the things that is an overhang for the stock. If they could figure out how to incorporate artificial intelligence in a way that would excite consumers and the market, you’d see a whole different company,” Zaccarelli said.
Apple reported its strongest quarterly outcomes in years during the April-June period, with double-digit growth across key segments. Getty Images
Apple reported its strongest quarterly outcomes in years during the April-June period, with double-digit growth across key segments and its forecasts had been better than analysts’ expectations. The company is anticipated to announce its fourth-quarter outcomes on October 30.
The iPhone maker’s shares commerce at 33.2 occasions its earnings projected for the next 12 months, increased than the 27.42 for Nasdaq 100, according to data compiled by LSEG.
Apple shares have gained more than 7% this yr, widely underperforming the tech-heavy Nasdaq’s about 22% gain.
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