Apple has achieved a market value exceeding $4 trillion for the first time, making it the third major technology company to reach this milestone. This accomplishment was driven by robust demand for its latest iPhone models. The company’s shares briefly surged by 0.2% to a record high of $269.87 during early US trading on Tuesday.
Since the launch of the iPhone 17 series and the iPhone Air on September 9, Apple’s stock has risen approximately 13%, marking a significant turnaround from a slow start to the year. Analysts mentioned in a report highlighted that the renewed interest from consumers in Apple’s flagship devices has helped offset concerns about competition in China and uncertainties related to US tariffs on Asian manufacturing centers.
Sales data from research firm Counterpoint revealed that early shipments of the iPhone 17 exceeded the previous year’s lineup by 14% in both the US and China. The introduction of the slimmer iPhone Air model has also played a role in driving renewed demand, aiding Apple in regaining market traction against competitors like Samsung.
Brokerage firm Evercore ISI indicated to the news agency that the strong initial demand could lead Apple to surpass expectations for the quarter ending in September and provide a positive outlook for the December period.
Apple now joins Nvidia, valued at over $4.5 trillion, and Microsoft in the $4 trillion market-cap club. Microsoft re-entered this group due to gains associated with its collaboration with OpenAI.
Despite its success, Apple is facing scrutiny regarding its artificial intelligence strategy. The rollout of its Apple Intelligence platform, which includes ChatGPT integration and enhanced Siri capabilities, has been slower compared to its competitors. Apple’s shares are trading at 33.2 times forward 12-month earnings, exceeding the Nasdaq 100’s 27.4 multiple based on LSEG data.
Although Apple’s stock has increased by over 10% this year, it lags behind the broader Nasdaq, which has seen a growth of approximately 22%. Apple is set to announce its quarterly results on October 30.