Apple Reaches $1.5 Trillion Market Value; A First For Any US Company
On the back of a stellar performance yesterday, Apple’s share price today rose so high that the company reached a value of $1.5 trillion. That makes Apple the first United States company to do so as its shares hit $352.05.
A company’s market value, or market capitalization, is simple to calculate. All you need to do is take the value of a single share and then multiply it by the total number of outstanding company shares available.
Apple has 4.3 billion shares outstanding at the time of writing and with a share price of more than $352 that means a market capitalization of somewhere in the ballpark of $1.52 trillion dollars.
That’s a huge number and one that seemed a long way off not too long ago. Apple’s shares took a tumble during the early weeks of the coronavirus pandemic but have since rebounded. And some! Other tech companies like Amazon, Google, and Microsoft have seen similar improvements recently.
None of this means a great deal to your average consumer, though. The new market capitalization does indicate how strong the company is, however. And the stronger it is, the more money and resources it can pile into research and development.
And that, in turn, means better devices and services for us!