Apple will be the first company to achieve a market value of 3 trillion dollars

A woman walks past an Apple logo in front of an Apple store in Saint-Herblain near Nantes, France, September 16, 2021. REUTERS / Stephane Mahe

January 3 (Reuters) – Apple Inc (AAPL.O) on Monday became the first company with a market capitalization of 3 trillion dollars, lifted by investors’ confidence that the iPhone manufacturer will continue to launch best-selling products while exploring new markets such as f. ex. automated cars and virtual reality.

On the first trading day of 2022, the Silicon Valley company’s stock hit a record $ 182.88 around the middle of the day.

The world’s most valuable company is the first to reach the last milestone as investors bet that consumers will continue to shell out top dollar for iPhone, MacBook and services such as Apple TV and Apple Music. read more

“It’s an amazing achievement and absolutely worthy of being celebrated,” said Jake Dollarhide, CEO of Longbow Asset Management in Tulsa, Oklahoma. “It just shows you how far Apple has come, and how dominant it is seen as in the eyes of most investors.”

Apple shared a $ 2 trillion market value club with Microsoft Corp (MSFT.O), which is now worth around $ 2.5 trillion. Alphabet (GOOGL.O), Amazon.com Inc and Tesla (TSLA.O) have market value over $ 1 trillion.

“The market rewards companies that have strong fundamentals and balances, and the companies that hit such huge market values ​​have proven to be strong companies and not speculation,” said Scott Wren, senior global market strategist at the Wells Fargo Investment Institute.

The rapid embrace of technologies such as 5G, virtual reality and artificial intelligence has also helped these stocks become market-driven as investors moved towards cash-rich companies and away from companies that have been more sensitive to economic growth.

Apple’s rapid use of 5G, a technology that has broad implications in the future, gave a big boost. It recently launched the iPhone 13 in its second wave of phones with 5G technology.

In China, one of Apple’s largest markets, it continued to lead the smartphone market for the second month in a row, beating rivals such as Vivo and Xiaomi, according to recent data from CounterPoint Research.

Apple’s share reached a record high of 182.88 dollars, and set the market value just over 3 trillion dollars, based on around 16.4 billion outstanding shares. The stock was up 2.4% at $ 181.86.

Reporting by Nivedita Balu in Bengaluru, Further Reporting by Eva Mathews and Chavi Mehta in Bengaluru, by Noel Randewich in Oakland, California, and by David Randall in New York; Edited by Maju Samuel, Arun Koyyur and Nick Zieminski

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