Apple becomes the first publicly listed US company with a stock market valuation of $2 trillion.
The iPhone maker achieved the feat in just two years after becoming the first publicly listed US company with a stock market worth $1 trillion.
Boosted by hopes on the long-term success of the world’s greatest tech names in a post-corona virus environment, Apple’s shares have risen after the slump and in July the world saw Apple eclipsing Saudi Aramco to become the most valuable listed company in the world. The stock of Apple has so far risen by around 57 percent in 2020 alone.
This reflects a growing investor confidence in Apple’s shift to rely less on iPhone sales, and more on user services including video, music and games.
Apple now accounts for nearly 7 percent of the total market value of the S&P 500. Its market capitalization is roughly equal to the combined values of the smallest 200 companies in the S&P 500.
The S&P 500, or simply the S&P, is a stock market index which measures the stock performance of 500 large corporations listed on US stock exchanges.
Throughout June, Apple’s sales increased in all segments in all its locations, even though the pandemic caused the world economy to collapse at the worst rate since the Great Depression.
Apple surprised analysts as loyal shoppers continued to buy iPhones, iPads and Macs online even as several brick-and-mortar stores remained closed due to the lock down necessitated by corona virus.
Current Chief Executive Officer Tim Cook took over from Steve Jobs in 2011 and under his leadership has more than doubled Apple’s revenues and profits.
Further, the iPhone maker says that they aim to make their shares more accessible to individual investors soon.
Microsoft and Amazon follow Apple as the most valuable publicly traded US companies, each at about $1.6 trillion. They are followed by Google-owner Alphabet, at just over $1 trillion.
Since the corona virus pandemic, the shares of technology giants have risen to record highs as customers rely more on e-commerce, video streaming and other services they provide. Investors bet that these businesses will emerge stronger from the pandemic than smaller rivals.