Published: Thu, August 02, 2018
Money | By Bruce West

Apple is the first USA company worth $1 trillion


On Thursday, Apple's stocks app for iOS, which pulls its financial data from Yahoo Finance, reported the company stock had passed $1 trillion, but that was based on the stock price being about $203 per share.

Other technology companies with high-flying, trendy stocks are expected to join Apple in the $1 trillion club before long.

The peak reached Thursday seemed unimaginable in 1997 when Apple teetered on the edge of bankruptcy, with its stock trading for less than $1.

During that time, Apple evolved from selling Mac personal computers to becoming an architect of the mobile revolution with a cult-like following.

This makes Apple worth more than the economies of countries such as Saudi Arabia, Switzerland and Taiwan. Under CEO Tim Cook, Apple also has embraced the internet, with its thriving services business helping propel the company toward the new milestone. According to a quarterly report that Apple filed with the SEC on Wednesday, the company had 4,829,926,000 shares outstanding as of July 20, the most recent figure available.

Apple's stock has risen over 30 per cent in the past year, fuelled by optimism about the iPhone X, launched a decade after the original.

Hot on Apple's heels is Amazon.com, the second-largest listed USA company by market value, at around US$880 billion, closely followed by Google-owner Alphabet and by Microsoft. Incidentally, the trigger price for Apple to reach a trillion-dollar valuation has been slowly creeping upwards as the company continues to aggressively buy back shares as part of its capital return program.

Stock market veterans note that the first trillion-dollar public company - if only briefly - appears to have been PetroChina Co.

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