Apple's shares soar to a new high and closer to a $3 trillion market cap as Big Tech takes off again
Apple shares ended at their first all-time high in more than a year on Monday, in the latest sign of how big tech has reclaimed its leadership mantle.
Shares rose 1.6% to end the session at $183.79. This is Apple’s first closing high since January 2022, though it hit an intraday record after it unveiled its Vision Pro mixed-reality headset last week. The day’s gain brings Apple’s 2023 advance above 41%, compared with the 35% gain of the Nasdaq 100 Index.
The stock has been a favorite almost regardless of market conditions. It was viewed as a safe haven amid turmoil in the banking sector earlier this year, with investors embracing its balance-sheet strength, capital-return program, and durable revenue streams as positives, while Apple’s recent results topped expectations and eased concerns about its growth prospects. In addition, investors have been optimistic about the company’s plans to expand and revitalize its retail chain.
“Apple has a roadmap people are comfortable with, it has unbelievable cash flow, and you can’t do better than this incredible business model,” said Wayne Kaufman, chief market analyst at Phoenix Financial Services. “We’re seeing people come back following the bear market, and Apple is just one of the stocks where investors are comfortable owning it whether it goes up or down, because they’re confident they’ll make money over the long run.”
The advance has helped to support the broader market, as Apple is by far the biggest company on Wall Street. It accounts for 7.5% of the S&P 500 Index, and the stock’s gain this year has resulted in a market capitalization of $2.89 trillion, putting it back within striking distance of achieving a historic $3 trillion valuation.