Apple today became the first U.S. company to hit a market value of $1.5 trillion after rising over $8 per share (2.3%) to hit a market cap of $1.525 trillion as the U.S. and worldwide economies slowly open after extended shutdowns due to the COVID-19 pandemic.
The S&P 500 and Dow eased on Wednesday, as losses in financial stocks outweighed a boost from technology, with focus shifting to the Federal Reserve’s first projections on the economy since the coronavirus outbreak.
The tech-heavy Nasdaq, by contrast, hit a record high for the fourth straight session, with gains for Apple Inc, Amazon.com Inc and Microsoft Corp driving a rally which has taken the index back into bull market territory.
The Fed concludes its regular two-day meeting later on Wednesday, with investors set to parse the outcome for signs on how long the central bank plans to maintain its ultra loose policy along with any plans to introduce yield control measures aimed at U.S. Treasuries.
A surge of more than 45% in the three main U.S. stock indexes, since falling sharply in March, has been underpinned by unprecedented monetary and fiscal stimulus measures and resulting hopes of an economic rebound.
MacDailyNews Take: Boom!
The next ten years are going to be absolutely amazing for Apple. The company has just started to really get going! — MacDailyNews, August 2, 2017
Trillion, schmillion. Over time, Apple will go much higher than that. The company is currently horribly undervalued. – MacDailyNews, March 1, 2018
The greatest company on earth is still wildly undervalued! The march to $2 trillion has begun! — MacDailyNews, August 2, 2018
They should share the love with us longtime Mac fans and give us back our old software.
Was it sometime last year when analysts were saying Apple should buy Tesla when it was around $250 a share? I was against the idea as I didn’t think Tesla was profitable enough for Apple to bother with. Tesla wasn’t keeping up with delivery numbers and the EPS was negative. I’m not exactly sure what happened in the last couple of months, but I suppose I was just blind or stupid. At $1000 a share, Tesla would seem to be worth far more than Apple (in terms of P/E) and Tesla doesn’t even sell that many cars. Of course, I would never look at such a short window to value a stock, but I’m honestly confused when it comes to company value.
Well, I’m sure Apple won’t be buying Tesla even if they were once considering it (I’m not sure if they were). People keep saying Apple’s value is in a bubble, but Tesla’s value isn’t. I simply don’t get it. The stock market no longer makes any sense to me no matter how much I study it. Fundamentals no longer matter and any stock can be a winner or loser for reasons I can’t even fathom. There is no way I could imagine when I bought Apple in 2004 that Apple would ever be worth $1.5T in market cap. I guess I was just lucky. $2T now doesn’t even seem that far away. Crazy.
All those people who have lost their jobs and their businesses and yet the stock market is a goldmine. Mind blown.
Yes, there are some that think TSLA isn’t in a bubble, but there are many solid financial analysts (macro focus) that consider AAPL far more sure as an investment. They marvel, with a bit of a smirk and wink, at TSLA’s trajectory.
I’ll guess many of these folks also marveled at AMZN in the same way and now they’re wondering how IT happened. TSLA lives on the edge of profitability, but the technology has a future fit. We seem to be moving into its forward looking applications and the economics of the company will solidify in time, I guess? The new truck Musk loosely confirmed today is an example…and the 6+% stock gain coincided.
There’s no question what stock I’d like to own with stable growth in mind…but TSLA would be fun for surprises.
Tesla isn’t profitable, similar to Netflix….