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Amazon Joins Apple as World's Second Trillion Dollar U.S. Company
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Right, which is why, arguably, the U.S. debt isn't that big a deal. Crazy as that sounds, the U.S. produces some incredibly valuable companies. So it presumably can handle the current debt load relatively easily.
Of course if the debt always goes up, then eventually it will be a huge problem. And there seems to be little ability by the government leaders to agree on a means to lower the U.S. debt, so the debt increasing rapidly seems likely.
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The buybacks decreased the number of shares outstanding, which ties in directly to the P/E metric you cite as too low. I suspect they helped increase AAPL's market cap more than just having the cash sitting around.
AMZN is crazy. I also wonder when Wall Street will look for it to show profits. But I guess as long as the growth potential exists, it can keep the stock price high. When your "story" is taking over all commerce through web traffic sales, and you keep making progress year after year towards that, then you have a heck of a story.
Doesn’t really matter. The current stock price is nothing but the public’s expectation for a company’s earning potential in the future. The price reflects the price, current investors are willing to pay for the stocks. As such, they have basically missed out on the past profits and only care about the future.
The past net income only matters in that it is one of the metrics to determine future earning potential.
Carl Icahn probably still thinks Apple's undervalued. Probably wouldn't be happy until Apple's stock priced raised to BRK-A levels (currently 316900 as I write this). Since market cap = stock price * outstanding shares, that means Apple would be worth over $1,500 trillion.
The Dutch East India Company was the world’s first trillion dollar company by far, I think in current valuation it’d be worth $9 trillion or something close to that.
However, this headline says Amazon is the second U.S. company to reach $1 trillion.
Are you talking first US trillion publicly traded company or..? I am sure there were companies back in the day or companies that are not publicly traded in the US, that would be or could be just as big or bigger.
The stock is overpriced at this point just like prime. $120 up front for “free” shipping is highway robbery now that most other retailers offer real free shipping. Walmart is generally cheaper to boot.
And prime video and their paltry music service is definitely not worth $10/month.
And prime video and their paltry music service is definitely not worth $10/month.
It's all theoretical anyway, however, the buybacks also removed that amount of cash out of the market cap. Buybacks and dividends shouldn't affect the P/E precisely because the metric is on a per share basis.
But yes, the market was punishing AAPL for having too much cash lying around, so they had to do something with it. And since they couldn't find anything worthwhile to buy with it, they started paying back to the shareholders.
Apple has had several stock splits in their history. If Apple never had one, they’d be above $2000/share also
That bezos guy that grew his local book store into a trillion dollar company that has completely changed our lifestyle.
yeah, not ugh at all.
True, however.. "A good friend once told me, you are memory, without them we equal nothing"
Yikes! The things that people think doesn't surprise me anymore... Someone will do better than me to point out the error in your thinking... I hope!
I like Apple better than Amazon since hearing on the news that Amazon allows sellers to falsify country of origin labeling on products sold through Amazon. They are violating the spirit of the truth in labeling law if not the letter of the law but pending legislation and/or a pending executive order will both fix the loophole that allows companies like Amazon and their sellers to circumvent the law.
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Remember thought that a LOT of folks here erroneously believe a stock split 2:1 will instantly double your investment, and this other guy who thinks a $2000 share price means the company is much bigger than the $200 share price company. - You know what I mean.... The best stock analysts are not even far off from this same mis-informed mentality.
Amazon will forever always be known as the 2nd trillion dollar company.
Actually, Chinese oil company was the first (though not for long) a while back. Apple was second (but the first US) company to reach $1 trillion.
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Are you kidding? Have you read about Foxconn workers (who manufacture iPhones) jumping to death from the roof of the factory?
You're not using it don't kbow all the prime benefits which is why you think it's expensive.
The fourth largest annual budget item is paying just the interest accrued on the national debt. To be clear, that $310B budget item isn't paying off any of the debt, it's just paying to kick the can down the road one more year, at which time we will do the exact same thing again except it will be even bigger.
To put that $310 billion interest payment in perspective, NASA's 2018 budget is $19 billion and the US Army's 2017 budget was $148 billion. It seems like a "big deal" to me.
....and the company that achieved the feat in 18 years less than it took Apple....and also sans bailoutsAmazon will forever always be known as the 2nd trillion dollar company.
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You really believe that don’t you!