Apple has become the first U.S. company in history to reach a market valuation of $700 billion after the company’s share price reached a record high on Tuesday.
Apple blasts through $700 billion market cap
The Cupertino, U.S.-based company finished the trading day around 2 percent up from the opening price of just over $120 per share. The closing price was the highest they have ever reached, and is just below the intraday high of $122.15, which was also reached on Tuesday.
The company has a market cap of $710.74 billion, which makes Apple worth more than twice the market valuation of Microsoft (at $349.48 billion), and twice that of Google ($365.21 billion).
Apple previously reached the $700 billion market cap figure in November of last year, in intraday trading. Shares in Apple have steadily risen since the company posted a massive blockbuster holiday quarter in January, which was thanks to record breaking sales of 74.5 million iPhones that helped Apple earn $18 billion in profit.
Here’s a reminder of Apple’s Q4 earnings last year, and an indication of how much money they have floating around in spare cash ($178 billion):
The gains in the past month or so have led to many of the industry’s analysts to up the estimates and raise their apple price targets even higher. Following the December earnings report, much of Wall Street predicted that Apple will trade at more than $130 this year. But if the recent gains manage to stick, the forecasts may well go higher again, as the original $130 price estimate gets closer.
The most impressive estimate for Apple’s share price comes from billionaire ‘activist investor’ Carl Icahn, who set a lofty price target of $203 last year. He said last month that he will revise his estimates and increase them as necessary, as he has said that investing in Apple is a “no-brainer”.
Do you own shares in Apple? Do you wish you had bought them years ago and made a killing on the stock market? Let us know in the comments below what you think about Apple being the most highly valued company on earth…