Technology companies are always an attractive option to investors worldwide. However, trading under the AAPL ticker, Apple hones in one a crucial milestone. It may become the first publicly-traded company to reach a market valuation of $3 trillion and more.
Apple Can Set A New Record
While there are many publicly-traded technology companies on the market, few of them are as successful as Apple and Google. That applies to other publicly-traded companies as well, at least where their market valuation is concerned. It is all the more impressive to see Apple become the first company of this kind to potentially surpass a market value of $3 trillion over the coming weeks.
Although the current market cap of AAPL is still $2.9 trillion, overcoming that final stretch may not be the hard part. Shares still hover near the $175 mark, even if that represents a minor daily dip. To surpass the $3 trillion mark, the share price will need to reach a higher value over the coming days. The big question is whether it will happen before Apple’s next reporting date on February 1, 2022.
It is also worth noting AAPL notes a 31.39% price increase year-to-date. An impressive growth curve despite the COVID-19 pandemic, yet demand for technology products has not slowed down. However, there is still a global chip shortage that may affect supply chain logistics for some time to come. However, it should not cause any significant disruption for the upcoming holiday season.
Reaching the $3 trillion market valuation would mark another massive milestone for Apple. The company hit a $1 trillion valuation in August 2018 and $2 trillion in August 2020. The company’s growth has accelerated as it closes in on adding another $1 trillion less than 18 months after the previous milestone.
Fueling Ongoing Growth
Overall demand for the iPhone 13 has proven beneficial to the company. However, demand for slightly older models continues to ramp up across the iPhone, iPad, and Apple TV line. Moreover, Apple has strong growth for subscription services, including Apple Music, Apple TV+, iCloud, and the App Store. Overall, sales surged to over $83 billion in the most recent quarter, bringing its cash-on-hand supply to $191 billion.
Despite the prominent growth of the company, Apple might not hold the crown too long. Other major publicly-traded companies are on the cusp of surpassing this milestone, including Microsoft and Alphabet. It will also prove worthwhile to keep an eye on Amazon and Tesla, two companies that can achieve tremendous future growth.