This isn’t a typo: Apple became the first U.S. company to hit the $2 trillion valuation mark on Wednesday, with the company’s stock price continuing to rally following a strong quarterly report a few weeks back.
The tech giant’s stock price jumped a little more than 1% in early-morning trading on Wednesday to $467.41 per share — pushing it past the $2 threshold in the process. Apple’s been on a strong run in recent months, with the company adding $500 billion — or the equivalent of two Netflixs, one Snapchat and one Twitter — to its market cap since early June.
Last month, Apple reported nearly $60 billion in revenue between April and June, indicating the company had done a better job selling products than analysts expected, considering the impact of the coronavirus pandemic.
“We’re conscious of the fact that these results stand in stark relief during a time of real economic adversity for businesses large and small, and certainly for families,” CEO Tim Cook said on Apple’s earnings call.
At the same time, Apple announced a 4-1 stock split that’ll go into effect at the end of August — an announcement that has helped send Apple’s share price 21% higher over the past three weeks.
Apple’s strength in large part, Wedbush analyst Dan Ives told Yahoo Finance, stems from its interconnected devices and services.
“I think it all comes down to the install base,” Ives said. “The company has an unmatched install base, which now further monetization of that through services has been the key to success.”
Amazon, which has been on a similar run of late, currently has a market cap of $1.65 trillion.
Heading into Wednesday, Apple has been in the headlines for its legal battle with Epic Games after removing “Fortnite” from the App Store; you can read more about the battle by clicking here.