Holy cow! Apple hits $1.5 trillion market cap [Updated]

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Apple share price is well into record territory.
Photo: Pixabay/Pexels CC

A jump in Apple’s share price in the past two days pushed it over a milestone: On Wednesday, Apple became the first U.S. company valued by investors at more than $1.5 trillion.

AAPL shares have been on the rise for months. Last week, the stock made up all of the COVID-19-induced losses incurred earlier in the year, then headed into record territory.

Other companies are also on the rise. Microsoft enjoyed its own rally in recent weeks, but its market capitalization sits at $1.48 trillion. The same goes for Amazon, but at a $1.31 trillion valuation, it can’t match Apple, either. The iPhone-maker now stands at $1.529 trillion, according to Yahoo Finance. The stock closed at $352.84 on Wednesday, up $8.85 (2.57%) a share.

A big rise in Apple share price

Why investors decide to pour money into any stock on a given day often seems like a mystery. But buying Apple shares apparently went into overdrive yesterday in the wake of a report that the company plans to use its own processors in future Macs, rather than Intel chips. Since then, AAPL increased in value by more than 5.5%, or $18.50.

And, as noted, Apple had been on the rebound for months after taking a nosedive this spring. The company hit its previous $327.20 peak in mid-February, buoyed by reports of robust iPhone 11 series sales. Then the COVID-19 pandemic hit, and Apple’s share price dropped to $224.37 in late March. The company even dropped below $1 trillion in market capitalization.

But the share price now at about $352.84. Perhaps it’s because Apple has shown it can survive a crisis. Its retail stores are reopening. The company continued to introduce new products in the middle of a pandemic. And analysts are bullish on the 2020 iPhones, the first with 5G.