Just last month we reported that Apple’s share price had touched $600, which was just one month after hitting $500. At that point, it was a given AAPL would pass Google’s share price in no time. Yup, that’s what has happened in less than a month. Today, Apple’s share price closed at about $633, making the company’s shares now more expensive than Google’s. Apple’s market cap is now over $590 billion, nearly three times larger than Google’s.
In the past one year, Apple’s share price has seen a growth of 160 percent, compared to just 12 percent gain Google’s share price has seen. Now, Apple’s market cap is now larger than the combined valuations of Google, HP, Dell, RIM, Microsoft, Nokia, AMD and Motorola Mobility, with a couple billion dollars to spare. Wow. In fact, even to this day, Apple’s share price is undervalued. While AAPL is on its way to a $1,000, Apple’s is on its way to become the first $1 trillion company ever.
In the end, largest amount of marketshare, “open”, and free products continue to “win”, duh.
Just yesterday, we reported that Apple’s share price was closing in on Google. In fact, the share price closed at an all time high price of $589.58 and in after hours, it closed at $591.50. Today, the company’s share price touched the $600 mark this morning, just a month after reaching $500/share for the first time.
However, the stock closed at $585.56. Ever since the company reported a blowout earnings for the first fiscal quarter of 2012, the share price has risen nearly $180/share, or nearly 40%, in under two months.
Apple is the most valuable publicly traded company in the world, worth nearly $560 billion, and is on its way to become the first trillion dollar company, more than $150 billion higher than second-place ExxonMobile. Fact — During the dot-com boom in December of 1999, Microsoft’s peak market cap was $684 billion. At this rate, it seems to me that Apple’s on its way to pass that.
A little over a month ago, we pointed out that Apple’s share price has soared past $500, and it was continuing to reach new all time highs. Ever since the company reported blowout earnings for the first fiscal quarter of 2012, it has been rising and will continue to. Now last month, I pointed out that while Apple’s share price continued to grow, Google’s continued to stay steady or fall.
Turns out, in a matter of no time, AAPL is closing in on GOOG. Today, Apple’s share price has closed at an all time high price of $589.58 and in after hours, the share price closed at $591.50, which makes it less than $30 from overtaking GOOG. In fact, Apple is up 45.6 percent for the year. Just take a look at the graph below. It is mind blowing! In addition, Morgan Stanley has bumped up its target price for the stock to $720, with a 12-month bull case estimate of $960.
Remember when Exxon Mobile was the most valuable company in the world? Well, now Apple is and their market cap is at $549.71 billion, which makes it worth more than the entire US retail sector’s market cap! Apple may become the first trillion dollar company in our lifetime. Doomed indeed.
As we pointed out last week, Apple’s share price is seeing tremendous growth in 2012, but that’s not all. Turns out, while Apple’s share price continues to increase, Google’s continues to fall. There’s no other tech company stock right now which is seeing growth like this. Now, let’s compare Apple’s share price growth versus Google’s in a similar time frame. I’m going to graph the share price until February 7th.
In roughly the past month, AAPL has a seen a gain of over 60 points that has increased its price by nearly 16%. This was due to the blowout quarter the company reported two weeks ago, and since then, the share price has seen solid growth and closed at yet another record high of $468.83. Not only that, but Apple’s iPhone also nabbed 75% of mobile phone profits last quarter with just 9% of unit share. The company’s share price is nearing $470. Remember, this company has been declared “doomed” many times now and is not dominating in marketshare.
However, if we take a look at Google’s share price during the same duration, GOOG has seen a monthly decline of over 30 points which has decreased its price by 6%. This is due to the fact that the company failed to meet earnings expectations for the second time in a row. It really is only a matter of time until Google’s share price is lower than Apple’s. In fact, even to this day, Apple’s share price is trading lower than what it should be at. If things continue to go the way they are, it can get much worse for Google. Remember, business is always about the money. How can this be for a company that’s dominating in marketshare and “winning?”