Apple Achieves Milestone of Becoming First Company to Reach $3 Trillion Market Value Amid Tech Stock Boom: Report
Apple Inc has achieved a historic milestone by becoming the world’s first company to attain a market value of $3 trillion. This remarkable feat can be attributed to the optimistic outlook surrounding its expansion into new markets, as well as the anticipation of a more restrained approach to interest rate increases by the Federal Reserve.
The iPhone maker’s progress was one of the most eye-catching in a month marked by investor interest in the potential of artificial intelligence, and stock buyers also particularly favoring companies with strong balance sheets and cash flow.
Apple’s most recent quarterly report in May showed revenue and profit beating analysts’ expectations, and its history of share buybacks reinforced its reputation as a safe bet amid global economic uncertainty.
Similarly, the market value of electric car manufacturer Tesla Inc. increased by 28% in June.
Tesla’s rise was fueled by agreements reached by rivals Ford Motor Co. and General Motors Co. to access Tesla’s charging network, which could potentially make Tesla’s chargers the industry standard.
Elsewhere, Nvidia Corp joined the $1 trillion valuation club last month as its market value rose 11.8 percent, with investors betting on its potential to become a major beneficiary of the rise of artificial intelligence.
The company’s shares have soared after the revenue forecast was more than 50% higher than Wall Street estimated in May.
Apple and Microsoft Corp led the list of the top 20 global companies by market capitalization at the end of June.
(This story has been updated to correct a typo in paragraph 1)
