Apple crosses $1 trillion mark
Apple briefly hit the $1 trillion mark, becoming the first publicly traded company in the U.S. to reach 13 figures in terms of market value.
Apple shares topped $207 on Thursday, pushing the company to a market capitalization of $1 trillion just before noon, before falling back to around $206. A company’s market value is calculated by multiplying its current share price by the total number of shares investors hold.
The milestone comes a day after. The tech giant had relatively flat iPhone sales but increased its revenue thanks largely to higher-priced models including the iPhone X, with a list price of just under $1,000. The company also boosted its revenue from services, including Apple Music and the app store.
The world’s most valuable company has also goosed its stock price through buybacks. Apple announced $100 billion in stock buybacks on May 1, the largest repurchase ever by a U.S. public company. Stock buybacks reduce the number of shares a company has on the open market, driving up the price of the remaining shares.
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. Under CEO Tim Cook, Apple also has embraced the internet, with its thriving services business helping propel the company toward the new milestone.
More recently, Apple has been in a race to $1 trillion, which is currently valued around $879 billion.
Apple said it expects revenue of $60 billion to $62 billion for the fiscal fourth quarter that ends in Sept. 30. Its net cash stood at $129 billion, according to Moody’s analyst Stephen Sohn.
— CBS News’ Alain Sherter contributed reporting.
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