“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
It would be illogical, but, yes, it could happen.
I really think Wallstreet is rigged sometimes.
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.
If it does, so what? Is being “the world’s most valuable company” a goal which would drive Apple to behave any differently?
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.
Google is the true one trick pony. 90% of it’s revenue comes from search.
I wish Apple could cut into Google’s search business and really hurt them.
Advertizing.. Not search.. Search is free.
Still, it doesn’t make sense. Apple generates more revenue in one quarter than Google does in a whole year. Still Googles evaluation is over rated while Apple is under rated. It’s all BS.
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?
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.
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.
yep,
this is what happens when you start playing wall streets game. they wrote the rules, and wrote the rules so that they win.
this is, as we have seen, not the only thing they have in common with casinos….
Raise dividends yes, more buyouts no.
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.
Well sure. Apple they manipulate daily- the same idiots love Alphabet. I won’t happen
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.
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
But if Rush Limbaugh happens to accidentally belch out a couple syllables that sound like “Apple” in between his oxycontin naps, MDN is sure to let us know about it.
Keep bashing the price down and Apple should go private.
How’s that working for Dell??
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.
None of this matters. But, if it did you would find this, you morons.
If you tracck Apple and Google over the last 18 months, you will find that their stock price remains relatively constant in relation to each other.
If you check your belly button often, you will accumulate much lint.
Somebody else mentioned about this a bit above as well…could it really be that these so called *cough* “analysts” don’t dare to write negative stories about Google because they are afraid Google might seriously hurt them back by manipulating search results and even lifting up possible negative things about the companies (e.g when a user searches info about these companies) these analysts represent?
GOOG being this close to AAPL makes no sense even when you factor in “future expectations”.
One thing is certain: Google does no deserve it, they don’t have to innovate sh*t, they just sit there and do nothing and the reward is a constantly higher market cap. Apple on the other hand innovates cutting edge state-of-the-art hi-tech stuff and they constantly refine their products to be the best in the world.
GOOG and AAPL having the same market cap is so sick and so unfair that it’s not even funny..hmpf!
Net of cash, Google is already worth more than Apple.
??? More smoke and mirrors from Google.
People are concerned that Apple relies too heavily on iPhone sales. Why is no one concerned about Google? They are a true one trick pony. Other than search, what do they have?
Clearly the law of large numbers will cause Alphabet’s stock price to come crashing back to earth.
I still get the impression Google/Alphabet is lacking in focus. Even the name “Alphabet” seems to suggest they are clasping at straws and trying anything in the hope it will make money.
I do have to congratulate them for making lots of money. But I’d like to see a report on which products make money for them and which products negatively affect their bottom line.
Let’s not forget Apple makes a healthy profit on each item they sell.