Apple Becomes 1st U.S. Company Worth $2 Trillion
CUPERTINO (CBS SF / CNN) -- Among its many accomplishments -- the iPhone, the iPad, iTunes, the App store -- Apple can now boast of one more: It is now worth more than $2 trillion, making it the first company in the United States to reach that milestone.
The Cupertino-based iPhone maker's stock briefly hit the $2 trillion mark Wednesday. Shares have surged almost 60% this year and are at an all-time high. Apple, currently trading at nearly $470 a share, is about to become more affordable for average investors to purchase, too.
The company's stock will split four-for-one at the end of the month, which will cut the price of a single share to about $117. The value of Apple remains the same since the company will simply have more shares trading at a lower price.
Tesla also recently announced a stock split -- a move that could attract more millennial and Gen Z investors to the Bay Area-based electric automaker.
Apple reached the $2 trillion mark just over two years after passing the $1 trillion level.
It's not the first company in the world to be valued that high. Saudi Aramco topped that mark in December when it went public, but plunging oil prices have hurt the company's stock. Apple passed Saudi Aramco earlier this month after reporting strong earnings.
Two other US tech giants -- Amazon and Microsoft -- are moving closer to the $2 trillion mark too. Both are valued at about $1.6 trillion. Google owner Alphabet is also worth more than $1 trillion.
Apple's success has also vaulted CEO Tim Cook into the ranks of billionaires -- one of the few CEOs to reach that level without having started the company he leads.
The market has brushed aside concerns that lawmakers have about the clout of Apple and other large tech giants -- as well as worries about how some of President Trump's immigration policies will hurt Apple and other major tech companies.
Investors are in love with Apple due to surging sales for subscription services like Apple Music, iCloud, Apple TV+ and Apple Arcade. There is also growing excitement about the impending launch of the iPhone 12, which is expected to have 5G connectivity.
Apple -- and other top techs for that matter -- are also holding up much better than many other companies during the global recession that has been brought about by the Covid-19 pandemic.
© Copyright 2020 CBS Broadcasting Inc. All Rights Reserved. The Associated Press contributed to this report.