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Apple is on the brink of a $3 trillion valuation after a blistering stock rally this year

May 23, 2023, 16:00 IST
Business Insider
Apple CEO Tim Cook.Frazer Harrison/FilmMagic
  • Apple's shares have surged 34% this year, boosting its market value by $670 billion.
  • The stock's gains have come amid a Big Tech rally that's lifted the S&P 500.
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Apple's blistering start to 2023 has the world's most-valuable listed company on the brink of two major milestones: an all-time record valuation and a $3 trillion market capitalization.

The iPhone maker's shares have jumped 34% year-to-date to trade at just over $174 as of Monday's closing bell, lifting the tech giant's market to value to over $2.7 trillion.

That puts Apple within touching distance of the record $2.9 trillion it reached in January 2022. If the stock climbs another 10%, it'll become the first company to ever be valued at $3 trillion by investors.

Apple's gains have come amid a broader rally for Big Tech stocks that has lifted the entire benchmark S&P 500 index into the green for the year.

Facebook parent Meta Platforms and chipmaker Nvidia have both doubled in value over the past five-and-a-half months, while Amazon, Alphabet, and Microsoft have also racked up major gains.

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Investors have piled into tech stocks on the expectation that the Federal Reserve is close to winding down its aggressive tightening campaign, and enormous excitement around AI has also helped to juice share prices.

Apple remains the world's largest company by market capitalization, thanks to its $670 billion gain this year. It counts Warren Buffett's Berkshire Hathaway among its largest investors — the famed investor's conglomerate owns a 5.8% stake worth about $160 billion as of Monday's close.

Microsoft, Saudi Arabian energy giant Aramco, Google parent Alphabet, and Amazon are the only other companies valued at over $1 trillion.

Read more: Facebook parent Meta and Nvidia have both seen their stock prices double within the first 5 months of 2023

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