it’s official!! After months of tech and financial experts closely monitoring when it would happen, Apple is now the first company in the world to ever be valued at $3 TRILLION dollars! You’ll recall that Apple’s market value first crossed the $1 trillion thresholds in August 2018 and passed $2 trillion in August 2020.
Apple briefly hit a market cap of $3 trillion during intraday trading on Monday, before dropping back under the mark shortly afterward. Apple broke the barrier when its share price hit $182.86.
The milestone is mostly symbolic but it shows investors remain bullish on Apple stock and its ability to grow. Apple was up over 2.5% during intraday trading on Monday to a price per share over $182 after briefly hitting the $3 trillion mark.
At a market value of $3 trillion, Apple tripled its valuation in under four years. And analysts see plenty of room to run.
Apple showed annual growth across all of its product categories in its fourth-quarter earnings, with revenue up 29% year-over-year. While the iPhone is still the biggest sales driver, Apple’s services business grew 25.6% year-over-year and delivered more than $18 billion in revenue during the quarter.
In December, for example, Morgan Stanley’s Katy Huberty raised the firm’s price target on Apple from $164 to $200, and maintained the equivalent of a buy rating, arguing that new products like virtual reality and augmented reality headsets aren’t yet baked into the share price.
Huberty also said she expects Apple’s App Store revenue to outperform Morgan Stanley’s forecasts for the quarter and for Apple to ship 83 million units during the December quarter, 3 million more than anticipated.
Apple sold 27 million pairs of its newest AirPods model over the holidays, driving 20% year-over-year growth for Apple’s wearables business during the quarter, analyst Ming-Chi Kuo of TFI Asset Management Limited said in a Monday note.
Wedbush analyst Daniel Ives wrote on Sunday that the mark is a “watershed moment” but has more room to grow, especially since Ives values Apple’s services business at $1.5 trillion.