Tech Giant Apple Is The First US Company To Be Valued At $2tn
Upcoming iPhone With 5G Will Further Increase Shares Prices
Apple has been named as the first US company to be valued at $2tn on the stock market. This milestone has been reached in just the time period of two years after the company was valued at being the world’s first US-based company to be valued at one trillion dollars in the year 2018. During mid-morning on Wednesday, the share prices of Apple increased $467.77 in the United States, which pushed the company to become the first US Company to be valued at $2tn.
The only other company that has been able to hit the $2tn was the state-backed oil company Saudi Aramco after the firm listed its shares in December last year. But since then, the oil firm shares have dropped back to $1.8 billion, due to which Apple has been able to surpass it and become the most valuable trading firm by the end of July and the first US Company to be valued at $2tn.
Powerful retail business
Apple’s shares have jumped more than 50% than previously this year due to which the iPhone makers have become the first US Company to be valued at $2tn. Despite the coronavirus pandemic shutdowns due to which the manufacturing factories and retail stores were forcibly shut down to prevent further transmission of the infection, along with the political pressure from the US government due to its links with China.
Since Apple suffered from a low point in the month of March when the coronavirus pandemic first started spreading globally, the share prices of the tech firm have doubled since then. Even though the United States has been suffering from the economic recession due to the increasing coronavirus infection in the country, tech firms, especially Apple and Samsung are now being seen as winners during the preventive lockdown as the market has seen a rapid surge in retail in the last recent few weeks.
At the end of July, Apple posted its powerful third-quarter figures, which include $59.7 billion of revenue, and its double-digit growth in services and product segments. After Apple, as it has become the first US Company to be valued at $2tn, the next most valuable company in the United States is Amazon, which is worth $1.7 trillion.
Technical advancements of Apple
According to the technological analyst at the PP Foresight Paolo Pescatore, the rapid share rise of Apple is an impressive accomplishment within a short duration of time. In the last few months, due to the coronavirus pandemic has underlined the importance of household and user alike to become owners of better quality technological devices, services and connections and because of a strong and broad portfolio of the devices and its growing services provided by the firm, due to which there are plenty opportunities for the growth in future.
He also stated that the arrival of gigabit connectivity, broadband facility would offer infinite possibilities. Now all are looking forward to the eagerly anticipated 5G technological advancement in the upcoming iPhones, which is expected to further fuel the consumer demand for the smartphone.
Amazon and Microsoft are also following in the footsteps of Apple Corporation as some of the most valuable public trading US companies, with each worth about $1.6 trillion. These technology firms are followed by Alphabet, the owner of Google, which is worth about $1 trillion.
Despite the coronavirus pandemic affecting the production schedule of iPhones has not been affected, and the tech giant has become the first US Company to be valued at $2tn. This fall, Apple is now launching its iPhone 12, which is expected to be compatible with 5G networking. Normally the iPhones are launched in September and available to be shipped in October. But now, as the new iPhone is to be announced in October and available for shipment in November.