Apple becomes the first US company to reach the $1.5 trillion milestone

Back in 2018, Apple’s market capitalization reached the $1 trillion figure owing to its year-over-year revenue growth of 17 percent. This also triggered the stock price of Apple to shoot up. Apple became the first US company to reach the trillion-dollar figure mark. Just a month after this, Amazon turned out to be the second US-giant to reach the trillion-dollar market capitalization mark. American multinational conglomerate Alphabet Inc and Microsoft also joined the trillion-dollar club as their market capitalization also crossed the $ 1 trillion mark.

It is pertinent to note that Market caps can be calculated by multiplying the total number of outstanding shares of the company by its share price. It can be noted that in the past Apple has aggressively bought back some of its own shares to reduce their vast amount of cash reserves. Apple has also planned to move away from Intel due to the diminishing performance between generations. Apple plans on implementing ARM-based chips as they offer AI powered graphics and apps. It is very likely that 2021 will see new ARM-powered Macs.

Apple stock was worth $307 last month, but it has witnessed a growth of about 15 percent in just about a month. The stock price of Apple is currently worth $354. It can be a result of the overwhelming excitement of the investors over the new iPhone 12 series, which is set to hit the market very soon and also the anticipation of new ARM-based Macs, which is likely to be announced very soon by the organization. This has resulted in a new milestone for Apple where they became the first US company to reach the market capitalization mark of $1.5 trillion.

Presently the three most valuable American tech giants are Apple, Amazon, and Microsoft. Apple has emerged victorious by reaching the $1.5 trillion mark first despite the ongoing virus-forced crisis and the prevalent macroeconomic risks, though Microsoft is not very far away with a market cap of $ 1.4 trillion.

It is pertinent to note that, Organizations need Microsoft's venture programming contributions like never before in the midst of a wide change to remote work, shoppers are progressively moving toward internet business to buy things from the wellbeing of their homes. In case of Apple, their stores are still closed due to the crisis, but the resultant loss is being offset by their robust service segment, followed by Amazon and Alphabet with market caps at $1.32 trillion and $1 trillion, respectively.