Is Alphabet Inc. about to dethrone Apple as the world’s most valuable company?

“Another well-known tech giant may be slowly encroaching on Apple’s place at the top,” Stephanie Yang reports for CNBC.

“Apple’s stock has fallen more than 22 percent in the past six months, while Alphabet, formerly known as Google, has seen an almost equal but opposite move in its stock price,” Yang reports. “And while Apple tops the list of S&P 500 companies in market capitalization, Alphabet is narrowing the gap to become the most valuable company in the world.”

“Alphabet closed at a stock price of $720 on Wednesday with a market cap of about $500 billion. Apple closed at $97 with a market cap of about $540 billion,” Yang reports. “‘I see Apple’s loss of market cap leadership set to continue,’ Todd Gordon of TradingAnalysis.com said Wednesday on CNBC’s ‘Power Lunch.’ Looking at the ratio between Apple and Alphabet shares, Gordon noted that if current trends continue, Alphabet’s value will overtake Google’s at some point in 2017.”

Read more in the full article here.

MacDailyNews Take: A lot can happen to “current trends” in the tech world between now and “some point in 2017.”

SEE ALSO:
Apple could soon lose its place as world’s most valuable company to Google – January 13, 2016
Apple regains ‘World’s Most Valuable Company’ crown – August 1, 2013
Apple overtakes Exxon Mobil as world’s most valuable company – August 9, 2011

27 Comments

    1. When over half the trades on Wall Street are “short” then Wall Street Hype is far more important to setting share price and market cap than actual, real financial performance.

    1. You’re probably correct.. Wouldn’t drive Apple to behave differently but maybe will make those polarized for/against AAPL to ease off and let the stock become less volatile.

  1. Apple’s iPhone business alone makes more annual profit than all of Alphabet, Inc. Wall Street is obsessed with the notion that Apple is a “one product company” (despite the fact that the Mac, iPhone, iPad, Apple Watch, Beats products, Apple TV, Apple Pay, iCloud, Apple Music, iTunes, etc. are all quite different products), yet Google truly is a one-product company in the sense that there’s only one segment of its business that is producing profit: Advertising. Why doesn’t this bother Wall Street?

    1. Google is Wall Street darling, there is not many articles or campaigns to sabotage Google, because Wall Street doesn’t pay journalists to bash Google. Versus, endless articles bashing Apple on daily basic. However, there is solution for every problems. Fore example, If Apple could change Wall Street’s perceptions on Apple ,and also if Apple could raise dividend like IBM is 3.91%. that is a few suggestions, I can think of, anyone has any good ideas, welcome to add more.

      1. As a shareholder I agree that I’d like a higher dividend, but will that really do anything? Instituting a dividend and extremely aggressive share buybacks were supposed to be friendly gestures to Wall Street, but they haven’t been rewarded at all. So far it looks like Apple may as well have shoveled all the cash that it spent on buybacks into a big pile and lit it on fire. Wall Street doesn’t care what Apple’s P/E ratio is. As of today, its P/E ratio is almost in single-digits. Wall Street also doesn’t seem to care how many shares are outstanding, or any other metric that is normally used to gauge the value of a stock. There could be 500 shares outstanding and I still feel like Wall Street would value them at about $100 each.

    2. This is just my guess but maybe iPhone is seen as the keystone holding up the majority of Apple’s ‘bridge’ of products in its portfolio.. In comparison with Google where though Android is important to their Ad/search revenues it is not critical to the success of as large a portion of Google’s product portfolio.

  2. Alphabet is just a Ponzi scheme predicated by a long string of false earnings reports. Compare analists profits to google supposed web ad ‘profit’ and you’ll see the exact same pattern.

  3. It makes no difference. And MDN always thinks that this is something to care, worry, fret, obsess, cry, laugh argue or discuss.

    MDN posts this stuff because it is pathologically incapable of delivering any Apple news of value like talking about the latest software for all Apple platforms, posting lin ks to articles showing you how to get the most out of your tech or discussing

  4. No matter the market cap, Apple will remain the most valuable company to Wallstreet manipulators as it is the one that they can artificially create the greatest variations for.

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