Apple became the first company to ever reach a $1 trillion market cap on Wednesday as its share price soared to $207.39. But according to CEO Tim Cook, this is “not the most important measure of our success.”
In an email to Apple employees, Cook says that financial returns are simply the result of innovation — and that it’s the team behind them that really makes Apple so spectacular.
Apple’s share price has steadily been falling for some time now, and earlier this week it dipped below $400 a share for the second time this year. Meanwhile, Google’s has been on the rise. As a result, if you take away all the cash the two companies have sat in the bank and just look at their enterprise value, then Google is worth more than Apple for the first time ever.
Despite launching the fastest-selling iPhone to date just over a month ago, in addition to a new iPad mini that’s sure to be a big hit this Christmas, Apple is suffering from a surprising yet swift decline in stock value. Just weeks after reaching a $705 high, it now sits at its lowest price in over five months.
Many will dismiss the decline as a rare dip, confident that Apple will bounce back bigger and stronger than before. But others are questioning its ability to do so with ever increasing competition from its rivals. ABC Nightline asks whether Apple has “lost its shine.”
Tweetbot just dropped on the Mac App Store today, and perhaps the most surprising thing about it is the price. At $20, it’s significantly more expensive than most social networking clients. The thing is, it’s important not to see the number and instantly start making comparisons. You need to look at the price and ask: does this app provide 20 dollars worth of value? Judge it by that standard, and it doesn’t seem so expensive after all.
If you’ve read the Steve Jobs biography by Walter Isaacson, you may remember that Apple’s board was initially very hesitant to give Jobs a green light about creating Apple’s retail stores. A decade later, the stores have been an amazing success with hundreds of outlets around the world. They have also become the most profitable retail outlets in America.
Research company RetailSails ranked the country’s top retailers using the common retail metric of annual sales per square foot. Apple nabbed the top spot with sales averaging $5,647 per foot – nearly double high-end jeweler Tiffany and Co., which came in a distant second.
Your brand new car starts losing value the second you drive it off the dealer’s lot – that an old (and very true) addage. Like a new, a new piece of technology begins to lose value or depreciate as soon as you leave the store. With cars and with major tech purchases like a new iMac, this isn’t an immediate source of pain or dismay since you’ll be using them for at least a few years.
When it comes to smartphones and other mobile devices like our iPhones and iPads, depreceiation and loss of dollar value is equally true. The big difference is that most of us don’t hold to them for nearly as long.
If you’re in the habit of passing your iPhone or other mobile device onto friends or family members, that may not matter too much. But what if you’re looking to recoup some your investment?