“Apple Inc. shares traded at a $1 trillion market value Wednesday after the tech giant posted stronger-than-expected second quarter earnings as record services revenue offset a worryings slump in iPhone sales,” Martin Baccardax reports for The Street.
“Apple was able to offset a record decline in iPhone revenues, which fell 17% to $31.05 billion, with the best growth in services revenue the company has ever booked and a near-term forecast that topped analysts forecasts and remains on track for the group’s stated aim of doubling the size the services business from 2016 levels to around 500 million paid subscribers by 2020,” Baccardax reports. “Revenue from unites such as Apple Pay, iTunes, and Apple Music rose 16% to a record $11.45 billion, Apple said, with a reported gross margin of 64%, nearly twice the level of the group’s third quarter forecast for the entire business.”
“Apple shares were marked 6% higher at the start of trading Wednesday to change hands at $212.82 each,” Baccardax reports, “the highest since November 2 and a move that extends the stock’s gain since Cook cautioned on a China-lead slowdown on January 3 to around 49.7% and value the Cupertino, California-based tech giant at just over $1 trillion.”
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MacDailyNews Take: Apple’s market cap currently stands at $1.013 trillion.
Recent members of the $1 trillion club have since fallen below the mark. Microsoft’s market cap is currently $995.554 billion and Amazon’s is $955.026 billion.
Microsoft joins $1 trillion market cap club – April 25, 2019
Apple is once again the world’s most valuable public company – February 6, 2019
Amazon tops Microsoft as most valuable U.S. company – January 8, 2019
Apple hits landmark $1 trillion valuation – August 2, 2018