Printed from http://www.electronista.com

Apple market cap now larger than rest of US retail sector

updated 08:00 pm EDT, Wed March 14, 2012

Value of company now more than twice Microsoft

Apple's stock, which has been steadily rising on the back of new product releases and the perception of the executive team as capable of carrying on, has achieved yet another milestone as of closing on Wednesday. Not just "yet another all-time high" in stock price, but a net worth in market capitalization that outranks the entire worth of the combined US retail sector. AAPL is now valued at more than twice Microsoft's market cap as well.

Apple closed Wednesday at $589.58, rising more than $21 or 3.78 percent in a single day today, and that from a previous jump from Tuesday's close of $568 to opening this morning at $582.50. The stock rose as high as $594.72 in intra-day trading, and has climbed up from its closing price to over $592 in after-hours trading. As of Wednesday, the company has a market cap of $549.71 billion.

The rocketing stock is rising due to the intense demand for the latest, third-generation iPad, which will go on sale and presumably sell out on Friday. Rumors that Apple might sell a million iPad units in a single day may be revised upward as lines form at a number of retail outlets around the world, and accessory retailers are bracing for a rise in add-on sales such as cases and Bluetooth keyboards, two of the most popular accessories for iPad owners.

In addition to the iPad and iPhone, Apple's Mac business is also steadily gaining, making Apple the fifth-largest computer vendor worldwide, and the number one vendor if tablets are included as PCs. An expected refresh of the MacBook Air and possibly the MacBook Pro line in the spring, along with a possible years-overdue revamp of the workstation Mac Pro should keep the company's profile and its stock rising in the public eye. The iPhone will also get a refresh later this year, it is assumed, to add LTE support and other improvements.

Every rose has its thorns, however. Apple's increased dominance as a top stock is putting pressure on the company to disperse its enormous cash holdings, either through some level of dividend, a stock split, further acquisitions or a stock buyback program. The increased visibility also brings more political scrutiny, such as controversies about working conditions at the Chinese factories where Apple and other tech companies' products are now assembled, the offshoring of much of Apple's cash reserves, and increased lawsuits from patent trolls and others eyeing the company's deep pockets.




By Electronista Staff
Post tools:

TAGS :

toggle

Comments

  1. macnnoel

    Fresh-Faced Recruit

    Joined: Feb 2005

    +4

    it's all about marketshare remember?

    Apple is doomed!

    Comment buried. Show
  1. testudo

    Forum Regular

    Joined: Aug 2001

    -15

    oh please

    An overdue refresh to the MacPro will NOT do anything for the company's stock price or visibility. Which is why it wouldn't be surprising to see the MacPro to just disappear after a while.

  1. climacs

    Forum Regular

    Joined: Sep 2001

    +12

    I have to keep reminding myself

    whenever reading any post by testudo, that at least he's not wrenchy or arne

    but you're still a bag of vaginal cleansing fluid, testudo.

    Comment buried. Show
  1. Arne_Saknussemm

    Forum Regular

    Joined: Apr 2011

    -13

    Ah the Mac Pro; it's comming, it's comming, it's c

    its gone!

  1. Grendelmon

    Dedicated MacNNer

    Joined: Dec 2007

    -6

    iBubble

  1. ezylstra

    Fresh-Faced Recruit

    Joined: Jul 1999

    -1

    Dividend?

    You give a dividend to support the stock price--a reward to shareholders to help sell your stock at a higher price. Is that needed here?

  1. Foe Hammer

    Fresh-Faced Recruit

    Joined: Feb 2005

    -1

    Turnabout is FairPlay (so to speak) ...

    ... perhaps Apple should throw some investment/bailout money into Microsoft.

    At least be good for a tax write-off.

  1. testudo

    Forum Regular

    Joined: Aug 2001

    -1

    Re: right...

    because they're super-worried about their lack of visibility and their weak stock price.

    No, Apple's not worried about that. MacNN seems to think they are, and why they think a MacPro will keep them in the spotlight.

    they can do whatever they want with any line they care to evolve, even as a pet project for cool customers (like 3d folks, scientists, etc).

    Yes they can. Never said they couldn't. I'm just saying that (a) a MacPro will do nothing to affect their visibility, since it has such little visibility to begin with (they sell what, 50,000 or so a quarter?). and (b) considering how Apple seems to eschew 'niche' products, it wouldn't be a shock to see it go away, and the iDefenders telling us how an iMac with thunderbolt can cover the same space.

    i hope the next mac pro is programmed to hunt you across space and time and steal your cheetos before you can stuff them in your face.

    You better hope not. Otherwise it will be even longer before it is released!

Login Here

Not a member of the MacNN forums? Register now for free.

toggle

Network Headlines

toggle

Most Popular

Sponsor

Recent Reviews

D-Link Wi-Fi Smart Plug

Home automation fans have been getting their fair share of gadgets and accessories in the last few years. Starting with light bulbs, a ...

Razer Kraken Pro headset

Gaming headphones are a challenge to get right, for a long list of reasons that are unique to the consumer buying them. Some shoppers ...

Patriot Aero Wireless Mobile Drive

Regardless of how large a tablet you buy, you always want more space. There's always one more movie or another album you'd cram on, if ...

Sponsor

toggle

Most Commented

 
toggle

Popular News