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macrumors bot
Original poster
Apr 12, 2001
63,293
30,377



Apple's stock continues its strong recent performance, hitting another milestone today with a market capitalization of $700 billion and once again setting a new standard as the highest market cap in history before pulling back slightly. The mark comes less than two weeks after Apple's market cap passed $660 billion to set its first new high in two years.

aapl_700_billion.jpg
The company's market capitalization has doubled since Tim Cook was named CEO in August 2011.

Apple's stock is up nearly 60 percent over the past year and up 24 percent since the company's October 16 media event, which was followed just days later by a strong earnings report. Looking forward, Apple is expected to show blockbuster iPhone sales for the holiday quarter, and Wall Street is anticipating continued strong performance into 2015 as Apple looks to add yet another product category to its mix with the Apple Watch.

While Apple has been routinely setting new stock price highs for months, the new standards for market capitalization have not come until more recently, as the company's aggressive stock buyback program has reduced the number of shares available on the market. With market capitalization calculated as the share price multiplied by the number of shares outstanding, the share price has had to reach higher levels to make up for the lower number of shares. Apple's current share price of just under $120 is equivalent to nearly $835 on a pre-split basis.

Article Link: Apple's Market Capitalization Hits Record $700 Billion
 

Klae17

macrumors 65816
Jul 15, 2011
1,226
1,576
All their recent fails:

iOS 8 problems
Yosemite problems
Not enough iPhones
Mac mini RAM nit being upgradeable
iCloud photo library
No Apple TV update
No new MacBook Air
No refresh on regular iMacs

The stock market is crazy.
 

2457282

Suspended
Dec 6, 2012
3,327
3,015
I used to be in the market.... a long time ago.... Lost almost everything and had to go back to work. I still invest but not in the market (at least not directly). If I did however, I would think this is not the time to buy Apple. I would certainly have either bought them already and be thinking on selling now and taking out some profits or I would wait for the stock to dip so I can buy at a low(er) point.

Still thier 18:1 ratio is very reasonable.
 

bazinga!!

macrumors regular
Apr 25, 2012
101
3
Belgium
All their recent fails:

iOS 8 problems
Yosemite problems
Not enough iPhones
Mac mini RAM nit being upgradeable
iCloud photo library
No Apple TV update
No new MacBook Air
No refresh on regular iMacs

The stock market is crazy.

It's not like any of the "problems" you just mentioned matter to investors, only to geeks like ourselves.
 

MacSince1990

macrumors 65816
Oct 6, 2009
1,347
0
696.92 = 700??

All their recent fails:

iOS 8 problems
Yosemite problems
Not enough iPhones
Mac mini RAM nit being upgradeable
iCloud photo library
No Apple TV update
No new MacBook Air
No refresh on regular iMacs

The stock market is crazy.

None of which have any effect on the company's financial performance, except for the iPhone thing... but I'm not sure where you're even getting that from. What a silly list.
 

Ventilatedbrain

macrumors regular
Nov 22, 2012
201
68
This is where Tim cooks virtues shine. I distinctly remember when the market cap was very low and he was telling everyone hold on birches. I GOT THIS. Congrats apple # you have the business recipe down
 

santaliqueur

macrumors 65816
Aug 7, 2007
1,014
578
All their recent fails:

iOS 8 problems
Yosemite problems
Not enough iPhones
Mac mini RAM nit being upgradeable
iCloud photo library
No Apple TV update
No new MacBook Air
No refresh on regular iMacs

The stock market is crazy.

Take any company, and you could post a list just like this of their recent failures. By the way, you're really reaching for stuff to complain about.
 

nad8e

macrumors regular
Jul 17, 2008
151
2
Colorado
Come on $143!!!!

Finally get to that pre-split price of >$1000! Can't wait!

Imagine when a VR headset comes out and your phone is merely just a magic trackpad and backup screen.

I hope Apple is the first to market with a mass produced device. (Why I've always said an Apple TV is useless.
 

M-O

macrumors 6502a
Mar 15, 2011
502
0
All their recent fails:

iOS 8 problems
Yosemite problems
Not enough iPhones
Mac mini RAM nit being upgradeable
iCloud photo library
No Apple TV update
No new MacBook Air
No refresh on regular iMacs

The stock market is crazy.

not enough iPhones is a big reason why the stock is soaring.
 

Rogifan

macrumors Penryn
Nov 14, 2011
24,084
31,015
All their recent fails:

iOS 8 problems
Yosemite problems
Not enough iPhones
Mac mini RAM nit being upgradeable
iCloud photo library
No Apple TV update
No new MacBook Air
No refresh on regular iMacs

The stock market is crazy.

How are the last three on your list failures? And the Mac mini is not going to drive the stock price one way or the other. It's a blip on the radar.
 

ArtOfWarfare

macrumors G3
Nov 26, 2007
9,545
6,042
I hope Apple is the first to market with a mass produced device. (Why I've always said an Apple TV is useless.

Apple is never the first to do something. They don't try to be the first to do something. They aim to be the first to do something right. They weren't the first company with a touchscreen phone - they were the first company with a touchscreen phone where the touchscreen was good. They weren't the first to make a portable music player with a HD - they were the first to make one simple enough that people would actually want to use it.
 

vagos

macrumors 6502
Oct 19, 2014
270
1,642
All their recent fails:

iOS 8 problems
Yosemite problems
Not enough iPhones
Mac mini RAM nit being upgradeable
iCloud photo library
No Apple TV update
No new MacBook Air
No refresh on regular iMacs

The stock market is crazy.

You sound like the competitors are perfect (which is not the case).
The stock market invests in potential of future profits,
not satisfaction levels of people in forums.
Judging from iPhone 6 sales, the stock market is perfectly sane.
 

tentales

macrumors 6502a
Dec 6, 2010
771
1,184
You sound like the competitors are perfect (which is not the case).
The stock market invests in potential of future profits,
not satisfaction levels of people in forums.
Judging from iPhone 6 sales, the stock market is perfectly sane.

It's the buyback program (reduction in available shares) that's pushing the price higher, not the "stellar" performance by Apple of late.

Much like the whole stock market is inflated by the Fed's bond buying program, aka. QE.
 

gnasher729

Suspended
Nov 25, 2005
17,980
5,565
Sell baby sell!

That's what you say when AAPL goes up, and I'm sure that's what you say when AAPL goes down. Probably also what you say when AAPL stays where it is.

It's the buyback program (reduction in available shares) that's pushing the price higher, not the "stellar" performance by Apple of late.

That's not how a buyback program works. When you do a buyback, the company spends their money. The value of the company drops. Every billion spend on a buyback is a billion less in the bank account is a billion less value of the company. A buyback would only increase the share price if the share price is lower than the value of a portion of the company, so the value per share goes up, and when people realise this, the share price goes up. If the shares are valued correctly, a buyback program doesn't affect the share price.

However, the article isn't talking about share price, it is talking about market capitalisation. A share buyback means that with the same share price, the market caps is lower because there are fewer shares. In other words, you need a higher share price to get just the old market caps back. AAPL however has just reached a record market caps. Which means the value of the company increased even after spending billions on a buyback, which just reduces the value of the company.
 
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