Apple Just Became a $5 Trillion Company

[MacRumors]

At least briefly, Apple became a $5 trillion company today based on market capitalization, which is the total value of all of the company's outstanding shares.

Apple's stock surpassed the $340 mark today in intraday trading, which pushed the company's market cap above $5 trillion for the first time ever. However, the stock price is bouncing up and down.

Apple is once again the world's most valuable public company, having surpassed Nvidia.

Article Link: Apple Just Became a $5 Trillion Company

 

[nfl46]

Way to go, Tim Apple!

He’s definitely been the moneyyyyy CEO!

 

[germanbeer007]

That means we can start demanding
- 250GB of free iCloud storage for life
- 5% cut for all developers and open up the app store for all countries
- 1TB/32GB base storage/ram for all Macs without raising prices

Apple is a 5 TRILLION DOLLAR COMPANY so they can afford to give us free ****.

because that's how money works, right?

...right?? /s

 

[DocMultimedia]

Me likey. 🤑

 

[Spock]

Apple is clearly doomed. If I were in charge, I'd shut it down and give the money back to the shareholders.

 

[sw1tcher]

Does that mean Apple can now leave the EU?

 

[jonnyb098]

They have Klarna to thank 😂

 

[thebellnd]

Tim Cook will be a huge loss for Apple at the top. He has delivered incredible returns for investors.

The next CEO has a big job ahead of him to grow profits and margins in the current cost-surge environment.

 

[ghanwani]

Keep in mind that most of this is just due to money printing by the fed.

Some education: A person buying stock at price to sales of 10 is assuming that the company will be paying them every cent they make as revenue (not profit) for the next 10 years before they can make their money back.

https://twitter.com/x/status/1872654922308886923

 

[AAPLbuyback]

Keep in mind that most of this is just due to money printing by the fed.

https://twitter.com/x/status/1872654922308886923

Cop out. Other stocks should be up as much as Apple in that case. Way more complicated than that.

The money printing is overall inflationary and does have an impact but is not responsible for good management.

 

[Sydnxt]

5 Trillion and still needs ads in Maps and App Store so the line goes up.

 

[ghanwani]

Cop out. Other stocks should be up as much as Apple in that case. Way more complicated than that.

The money printing is overall inflationary and does have an impact but is not responsible for good management.

Where's Apple? The is a the biggest bubble ever.

https://twitter.com/x/status/2081396513570185262

 

[B4U]

Well, endless greed will get there, eventually.

 

[Radeon85]

I hope these companies crash, as they need a reality check; it won't be the first time either. Apple almost went bankrupt once, so it's not impossible.

 

[Dmoney77]

That was fast

 

[Steve Adams]

5 Trillion and still needs ads in Maps and App Store so the line goes up.

Exactly. Greed wants more.

 

[macbookj0e]

They have Klarna to thank 😂

Klarna karma 😂

 

[jayducharme]

Mind-boggling. Numbers that high are incomprehensible.

 

[DBZmusicboy01]

congrats as long as they price the iPhone 18 Pros fairly and not nerf the features along with it.

 

[Graphate]

Keep in mind that most of this is just due to money printing by the fed.

Some education: A person buying stock at price to sales of 10 is assuming that the company will be paying them every cent they make as revenue (not profit) for the next 10 years before they can make their money back.

https://twitter.com/x/status/1872654922308886923

Interesting take, there are many different ways to look at money and the economy. Unfortunately getting accurate predictions or even strict rules is difficult in any field that is difficult to conduct a controlled study on.

But I think to say most of its valuation comes from monetary policy is going to be difficult to defend. Apple’s valuation also reflects growth in earnings, cash flow, share repurchases, and expectations of future profitability.

A price-to-sales ratio of 10 in theory means investors are valuing the company at ten times one year’s revenue. But that may be reasonable if investors expect high profit margins, rapid future growth, or durable competitive advantages. Companies distribute profits but, revenue is not distributed to shareholders. And a stock’s value might come from future cash flows, not just distributions.

 

[ghanwani]

Interesting take, there are many different ways to look at money and the economy. Unfortunately getting accurate predictions or even strict rules is difficult in any field that is difficult to conduct a controlled study on.

But I think to say most of its valuation comes from monetary policy is going to be difficult to defend. Apple’s valuation also reflects growth in earnings, cash flow, share repurchases, and expectations of future profitability.

A price-to-sales ratio of 10 in theory means investors are valuing the company at ten times one year’s revenue. But that may be reasonable if investors expect high profit margins, rapid future growth, or durable competitive advantages. Companies distribute profits but, revenue is not distributed to shareholders. And a stock’s value might come from future cash flows, not just distributions.

It's never different.

Smead Capital Management

[...] The last thing the cynic is thinking with the McNealy problem is that we are using the past as a guide with Microsoft and Cognizant Technologies (the past) to look at DocuSign (the future). We are also speaking to financial euphoria that we haven’t seen since the late 1990’s, when Scott...

smeadcap.com

 

[UliBaer]

Well, it is only virtual money/worth.
If every shareholder suddenly wants his/her money, it wouldn't be possible to pay out everyone.
...but cheers to reaching that point in history! 🍺

 

[AAPLbuyback]

Where's Apple? The is a the biggest bubble ever.

https://twitter.com/x/status/2081396513570185262

What does this have to do with what I said? You compared companies that started from nothing and went up a lot. Happens all the time. Apple has been a massive company for a lot longer than 10 years and won't have those kind of % returns unless you go back longer.

Now do a list of market cap added. Apple added $4.7T in market cap since Jobs died. They are #1 on that list.

 

[AAPLbuyback]

Well, endless greed will get there, eventually.

Everyone is greedy. The world runs on it. Why isn't everyone in this position?

Easy answer, greed doesn't make you wealthy and is an irrelevant talking point.

 

[AAPLbuyback]

Well, it is only virtual money/worth.
If every shareholder suddenly wants his/her money, it wouldn't be possible to pay out everyone.
...but cheers to reaching that point in history! 🍺

No, the value is very real. Your scenario is essentially liquidating the company, which doesn't have anything to do with its valuation.