Apple CEO Tim Cook.
REUTERS/Carlo Allegri
- Apple crossed the $3 trillion market capitalization level for the first time ever on Monday.
- Apple’s stock price surged 3% to a high of $182.88 in Monday trades, 2 cents above the amount needed to hit the milestone.
- Shares of Apple returned 35% in 2021, outpacing the S&P 500’s return of about 27%.
- Sign up here for our daily newsletter, 10 Things Before the Opening Bell.
Apple crossed the $3 trillion market capitalization milestone on Monday for the first time ever, just 16 months after it crossed the $2 trillion level. On both occasions, it was the first company ever to reach the milestone.
Shares climbed 3% to a high of $182.88 in Monday’s trading session, just two cents above the $182.86 level needed to cross the valuation threshold.
At its peak on Monday, Apple gained about $90 billion in market capitalization since Friday’s close, making its one-day gain bigger than the bottom 400 stocks in the S&P 500 index. Shares of Apple returned 35% in 2021, outpacing the S&P 500’s return of about 27%.
The gains came one day after Wedbush analyst Dan Ives forecasted a strong 2022 for the company, in part driven by the potential launch of a new AR headset product later in the year.
Apple became the first US company to reach a $1 trillion and $2 trillion market capitalization in August 2018 and August 2020, respectively.
Over the past two years, strong demand for Apple’s iPhone 12 and 13 models has driven record revenue and profits. Trailing 12-month revenues hit $365 million as of September 30, for year-over-year growth of 33%.
Ives expects the gains for Apple to continue, having set a bull-case scenario price target of $225, representing potential upside of 27% from Friday’s close. Potential drivers of those gains include a growing Services business and easing supply chain pressures heading into 2022, he said.
Markets Insider
