Apple becomes 1st private company worth $1 trillion
- Author: Eleanor Harrison Aug 03, 2018,
Aug 03, 2018, 5:31
The tech titan on Thursday became the first company in the world to reach a $1 trillion valuation.
In the firm's posted financial results for the fiscal 2018 third quarter, Apple revealed a 17% increased quarterly revenue from past year of $53.3 billion and 40% higher quarterly earnings per diluted share of $2.34.
A $1,000 investment at the stock's closing price after its December 12, 1980 IPO would be worth about $8.9 million today.
Mr Jobs eventually introduced such popular products as the iPod and iPhone that have driven Apple's rise.
The stock has been surging this week as anticipation mounts about the next generation of iPhone, expected to be released in September. 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. The 9 percent gain was Apple's biggest two-day advance in almost a decade.
Although many have doubted Apple's staying power over the years, unlike many hardware makers the company has ridden the elegance and functionality of its devices.
The Silicon Valley stalwart's stock has surged more than 50,000 percent since its 1980 initial public offering, dwarfing the S&P 500's approximately 2,000-percent increase during the same nearly four decades. User growth and engagement on Facebook and Twitter has been wavering amid deepening concerns about their ability to protect people's personal information and shield them from misinformation and other abuses that have been infecting their services.
Apple has been credited with giving rise to lifestyles centered around mobile apps for seemingly everything from games and messaging to ordering food or summoning auto rides. However, it's not a bad thing, and puts down a marker for just how far the company has come.
All of these products and more have helped Apple get to where it is today the world's leading company, a position that Apple will need to fight to keep against increasingly tough competition.
Earlier on Thursday afternoon the Nasdaq's website showed Apple's value passing $1 trillion.
The landmark is the latest victory for Tim Cook, who faced scepticism when he took over as chief executive in 2011 from ailing iconic co-founder Steve Jobs.
Jobs' vision, showmanship and sense of style propelled Apple's comeback.