Apple eyes historic US$3 trillion valuation
BNN Bloomberg
Apple Inc. is on the verge of becoming the first company to ever close with a market value of US$3 trillion, the latest sign of big tech’s seemingly unstoppable dominance on Wall Street.
The iPhone maker gained 1.2 per cent on Friday, resulting in a market capitalization of $3.01 trillion and bringing its gain for the year to 47 per cent. Its year-to-date rally has added more than $940 billion to the company’s size.
The milestone underscores the dominance of tech megacaps in the broader stock market this year. The group has eclipsed traditional growth stocks and led some to question the viability of the rally that caught many strategists off guard, as it faces potentially more Federal Reserve interest-rate hikes.
Big tech’s strength in 2023 has lifted the Nasdaq 100 Index 39 per cent. Excitement over artificial intelligence has fueled much of the gain, though investors have also gravitated toward the kind of quality factors that Apple has in spades, including a strong balance sheet, durable revenue streams, and a robust competitive position.
