Apple Claims New Title, World’s Most Valuable Company
Apple has finally done it. With blockbuster earnings in the fourth quarter of 2011 Apple has become the most valuable company in the world.
Apple experienced massive purchases of its shares breaking the $400 Billion threshold and above ExxonMobil’s (The previously most valuable company in the world) price tag for the first time since August 8, 2011.
Apple had held the spot in the first quarter of the year but a disappointing first quarter earnings report sent Apple shares down 14%.
At more than $420 billion, Apple’s market cap is almost twice as high as that of Microsoft. Microsoft is the number 2 technology company in the world by market value.
There is a buzz among investors at this point that Apple may begin to start paying a meaningful dividend some time in the future. Apple has long resisted doing so.
Barclay’s Investment house said the following in a statement,
“We do believe the company should examine a meaningful dividend closely and are intrigued by the possibilities around any sizeable acquisitions that could improve its wireless and online services,”
Apple shares also trashed all-time records. Their previous record of $431.36 was hit earlier this month. Maintaining it’s strong rally from late Tuesday, Apple was trading up 6.87% to $449.15 shortly after the opening bell. The company opened over $450.00 per share when the bell was rung.
Apple has fared extremely well under new CEO Tim Cook, and it seems as if fears of the loss of Steve Jobs may have been overstated. Cook is seeing Apple reach highs that were not really thought possible just earlier this year.
Do you think Apple is worth the hype?