Apple may become the first company with a market capitalisation of $4 trillion
Apple may become the first company in the world to reach a market capitalisation of $4 trillion, Fortune reports.
Here's What We Know
Shares of Apple (AAPL) rose by almost 40% in 2024. As of the morning of 27 December, the company's capitalisation reached $3.92 trillion, leaving only a small leap to reach this historic figure. The main reasons for the growth were positive expectations from Apple Intelligence and stable demand for new iPhone models.
Wedbush analyst Daniel Ives said that Apple is entering a new stage of active growth thanks to the development of artificial intelligence. He raised the forecast value of the company's shares to $325, noting that the Apple Intelligence platform will be the main driver of this process. The creation of hundreds of new applications based on this platform is expected to generate additional revenue and increase demand for iPhone upgrades in the next 12-18 months.
According to Ives, Apple's AI strategy is underestimated by the market.
JPMorgan analyst Samik Chatterjee also predicts Apple's stable growth. He points to the increase in the number of active devices (over 2 billion in 2023) and the successful development of the service business. In his opinion, the company attracts investors due to the efficient use of capital, in particular through the payment of dividends and share buybacks.
Apple's closest competitors, Microsoft and Nvidia, have market valuations of $3.26 trillion and $3.43 trillion, respectively. Despite the significant investments of competitors in artificial intelligence, Apple's main advantage is full control over its devices and applications, which allows it to create a unique experience for users.
Source: Fortune
