The race is over: Apple has officially become the world’s first trillion dollar publicly traded company.
Apple stocks reached the $207.05 per share needed to reach the trillion dollar mark at 11:48am ET after rising 3% following its third quarter report released last week. The company is up 22% so far this year.
It looked likely Apple would soon reach the trillion dollar target last week after the company posted quarterly revenue of $53.3bn, an increase of 17% from the year-ago quarter, and quarterly earnings per diluted share of $2.34, up 40%. According to the BBC, Apple’s stock has risen more than 50,000% since it first listed in 1980.
Reaching the target has been attributed to the success of annual sales of the iPhone 8 and iPhone X, boosted by expansion into Chinese and Indian markets, with 41.3 million iPhones sold this quarter, 1% higher than last year.
Apple beats Amazon in the race to become the first trillion dollar company
It is thought that Amazon may not be far behind following promising quarterly report. The company’s stock market value reached $900bn last week after the report showed that the company’s operating cash flow increased 22% to $21.8bn in the last twelve months.
Amazon’s stocks are up 58% this year, leading some analysts to predict that it would reach the target first, as stocks looked likely to increase at a faster rate than Apple.
Technically one other company has reached a trillion dollars, as Chinese energy company PetroChina briefly crossed the threshold on the Shanghai stock exchange (but not on Wall Street) back in 2007. However, the company is state-owned so is not counted as a publically traded company.
In a statement on Apple’s recent success, CEO Tim Cook said:
“We’re thrilled to report Apple’s best June quarter ever, and our fourth consecutive quarter of double-digit revenue growth. Our Q3 results were driven by continued strong sales of iPhone, Services and Wearables, and we are very excited about the products and services in our pipeline.”