It’s no secret that the stock market has been going wild over the last few days in wake of growing economic turmoil decreasing confidence. While most companies have been hemorrhaging money, Apple remains stable: in fact, it’s now ranked as the most valuable company in the whole wide world.
According to analysts, Apple’s market valuation reached $341.55 billion today, while the previous most valuable company, ExxonMobil, now ranks #2, currently valued at $341.42 billion. In case you’re not aware, ExxonMobil is a popular American energy company which drills oil from many parts of the world, yet a company that started in Steve Jobs’ garage 40 years ago assembling circuit boards is now more valuable, albeit slightly.
This shouldn’t come as a surprise. Back in 2008, when markets were in turmoil, Apple took much less of a hit than other companies, including financial institutions. The same strength was maintained throughout the recession, when while most companies of its size were shedding jobs and scaling back their investments, Apple was able to reach record earnings several times. As the stock market takes another dip and the usual suspects flat-line, Apple shows no signs of waning.
How important is this new figure? Most like, not at all, since market fluctuations will likely reverse it in a matter of days. Yet, there’s the possibility that just this number might cause a new wave of investment in the company, which should substantially drive up its stock price. Before the 2008 market dip, Apple’s stock was valued at just under $180, yet it’s currently valued at over twice that amount, at nearly $366. As we head towards a possible second dip, could Apple be one of the only safe investments?
Apple wasn’t always this successful. 14 years ago, in 1997, the company was on the brink of insolvency, with failed hardware strategy and an outdated flagship operating system. Over the decade that followed it, Apple managed to turn itself around with a new set of Mac hardware and a new operating system, Mac OS X. The company has also entered the telecommunications space, with the hugely successful iPhone, which recently earned it the title of the world’s largest mobile phone manufacturer. These accomplishments haven’t only made consumers happy: shareholders have also collected the benefit in a big way with a revived belief in the company.