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Apple just blew past Microsoft to become the world's most-valuable public company

Mar 21, 2019, 22:10 IST

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  • Apple has surpassed Microsoft to reclaim its title as the world's most-valuable public company with a market cap of $916 billion.
  • Its shares have risen in anticipation of the company releasing a Netflix-style video-streaming service.
  • Watch Apple and Microsoft trade live.

Apple has breezed past Microsoft to reclaim its title as the world's most-valuable public company. Shares of the consumer-electronics titan rallied close to 4% Thursday, giving Apple a market cap of about $916 billion - surpassing its computing archrival's $908 billion valuation.

The pair's latest switch in position - Apple reached a $1 trillion market cap in August 2018 but had since retreated - comes amid anticipation that Apple will on Monday reveal a video-streaming service to rival Netflix. Its recent unveiling of new iPads, iMacs, and AirPods has also fueled the hype.

Apple certainly faces its fair share of challenges: net revenue fell 5% to $84.3 billion last quarter, a far cry from the $89-to-$90 billion it projected before cutting its guidance. The upshot was a fall in operating income of 11%. Apple's weak figures reflected a 15% slump in iPhone sales, as total revenues in Greater China plunged 27% and turnover in Japan and Europe also fell.

Meanwhile, Microsoft's sales leapt 12% and operating income jumped 18% in its latest quarter. The gains stemmed from strong sales of its Azure cloud-computing platform, Surface line of laptops and tablets, Xbox software and services, and LinkedIn site.

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Apple has surpassed Microsoft for now, but given the pair's recent performances, it will be watching its back.

NOW WATCH: The founder and CIO of $12 billion Ariel Investments breaks down how his top-ranked flagship fund has crushed its peers over the past 10 years

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