Apple Set to Become First $4 Trillion Company

Apple is on the brink of becoming the first company in history to surpass a $4 trillion market valuation, Fortune reports.

Apple Logo Cash Feature Blue
Apple's stock (AAPL) has nearly risen 40% in 2024. Before the markets opened on December 27, Apple's market capitalization stood at $3.92 trillion, leaving the company just a modest surge in stock value away from the unprecedented milestone. The growth is said to have been fueled largely by optimism surrounding Apple Intelligence and the continued strength of its iPhone upgrade cycles.

In a research note published on December 26, Wedbush analyst Daniel Ives said that Apple is entering a "golden era of growth" with its AI initiatives serving as a pivotal driver. Ives increased his price target for Apple's stock to $325, citing the company's ongoing efforts to embed artificial intelligence into its products. He emphasized that Apple's current AI strategy is likely underestimated by the market, adding that the development of hundreds of applications under the ‌Apple Intelligence‌ platform will provide "another growth catalyst along with catalyzing ‌iPhone‌ upgrades across the board over the next 12 to 18 months."

We believe Apple is heading into a multi-year AI-driven iPhone upgrade cycle that is still being underestimated by the Street. Rome wasn't built in a day and neither will Apple's AI strategy but the seeds of that strategy with Apple Intelligence are now forming and will transform the Apple consumer growth narrative over the coming years.

We estimate that with hundreds of apps in development around Apple Intelligence that in essence creates a new multi-billion annual Services revenue stream will be another growth catalyst along with catalyzing iPhone upgrades across the board over the next 12 to 18 months. We believe Apple is on pace to reach the $4 trillion market cap threshold and be the first member of this exclusive club.

JPMorgan analyst Samik Chatterjee also predicts sustained growth for Apple, driven by its ability to expand its installed base of devices, which surpassed two billion active units globally in 2023. Chatterjee pointed to "the transformation of the company to services" and the continued evolution of its product lineup as key factors in its success. He also highlighted Apple's focus on capital deployment, with the company consistently returning value to shareholders through dividends and stock buybacks, which have totaled hundreds of billions of dollars in recent years.

Apple's nearest competitors in terms of market capitalization, Microsoft and Nvidia, have also benefited from advancements in AI but trail behind with valuations of $3.26 trillion and $3.43 trillion, respectively. Both companies are investing heavily in their own AI platforms, with Nvidia's GPU technology playing a central role in powering generative AI applications. However, Apple's long-term advantage seemingly lies in its ability to control both hardware and software, potentially allowing it to deliver a superior user experience across its ecosystem.

Popular Stories

iPhone 17 Pro 34ths Perspective

iPhone 17 Pro Launching Later This Year With These 10 New Features

Sunday March 23, 2025 10:00 am PDT by
While the iPhone 17 Pro and iPhone 17 Pro Max are not expected to launch until September, there are already plenty of rumors about the devices. Below, we recap key changes rumored for the iPhone 17 Pro models as of March 2025: Aluminum frame: iPhone 17 Pro models are rumored to have an aluminum frame, whereas the iPhone 15 Pro and iPhone 16 Pro models have a titanium frame, and the iPhone ...
macbook pro blue green

When Will Apple Release the M5 MacBook Pro?

Wednesday March 26, 2025 4:53 pm PDT by
Apple regularly refreshes the MacBook Pro models, and a new version that uses M5 series chips is in the works. Apple just finished refreshing most of the Mac lineup with M4 chips, and now it's time for the M5. Rumors suggest that we could see the first M5 MacBook Pro models this fall. Design There have been no rumors of a design update for the M5 MacBook Pro models that are coming this...
iOS 18

iOS 18.4 Expected Next Week - Here Are the Release Notes

Friday March 28, 2025 2:01 pm PDT by
With the second release candidate of iOS 18.4 that Apple seeded out today, the company finally provided us with release notes that give a full rundown on what to expect. There's an Apple Vision Pro app, new Apple Intelligence features for notifications and additional language support, plus an Apple News Food feature for Apple News+ subscribers, and several updates that should improve the...
Facebook Feature

Facebook's New iPhone App Feature Turns the Clock Back to 2007

Thursday March 27, 2025 1:59 pm PDT by
In the mid-to-late 2000s, Facebook was all about staying connected with friends and family. However, as the social media platform added new features and grew over time, that core experience began to get drowned out. That changes starting now, according to Meta, which today introduced a new feature that will "bring back the joy" of classic Facebook. Specifically, Meta has redesigned the...
Magic Mouse Green

What to Expect From the Magic Mouse 3

Saturday March 29, 2025 10:15 am PDT by
Apple is reportedly working on a new Magic Mouse. Below, we recap what to expect. The two key rumors for the Magic Mouse 3 so far include a relocated charging port, along with a more ergonomic design. It was briefly rumored that the Magic Mouse 3 would also feature voice control, but that was misinterpreted information. Relocated Charging Port While the Magic Mouse switched from...
Foldable iPhone 2023 Feature Homescreen

Six Things to Know About Apple's Upcoming Foldable iPhone

Friday March 28, 2025 3:54 pm PDT by
We've been hearing rumors about a foldable iPhone for almost a decade now, but it looks like we might finally see the device come to fruition in 2026. We're going to be waiting many more months for the foldable iPhone, but so far we're hearing good things. Apple wants to make it creaseless. It's taken Apple multiple years to design a foldable iPhone that it's satisfied with because Apple ...
iOS 18 4 Ambient Music Control Center

How to Use iOS 18.4's New Ambient Music Feature in Control Center

Thursday March 27, 2025 7:45 am PDT by
The upcoming iOS 18.4 update for the iPhone adds an Ambient Music feature to Control Center. Below, we take a closer look at how it works. iOS 18.4 is currently in beta, so the Ambient Music feature is not widely available yet. The update will likely be released to the general public next week. To use the feature on iOS 18.4, open Control Center and tap on the plus sign in the top-left...
Foldable iPhone 2023 Feature 1

'iPhone Fold' to Feature Metallic Glass Hinge That Resists Deformation

Thursday March 27, 2025 4:21 am PDT by
Last week, we covered a report claiming that Apple's book-style foldable iPhone (or "iPhone Fold," as we are provisionally calling it here) will use liquid metal hinges to improve durability and help minimize screen creasing. Today, a Chinese leaker provided more details on the properties of this hinge material that help to clarify why Apple chose it for its first foldable device. According...
top stories 2025 03 29

Top Stories: WWDC 2025 Announced, iPhone 17 Pro and iOS 19 Rumors, and More

Saturday March 29, 2025 6:00 am PDT by
Apple's big developer event is a little over two months away, and rumors about what we can expect to see in Apple's next major operating system updates are becoming increasingly frequent. A public release of iOS 18.4 is also imminent with a number of updates and improvements, although we won't be getting the major Apple Intelligence Siri upgrades that had reportedly been planned for this...

Top Rated Comments

McWetty Avatar
13 weeks ago

Half of Macrumor members…. "Apple are going downhill fast. Time Cook has destroyed this company"! ???

Well done Apple, Well done Tim. You have done well with my monthly paychecks.
I don’t disagree, but there’s more to a brand/company than how good they are at building revenue.

I love Apple products, but I do feel they have lost their soul a bit. Could just be me getting older though.
Score: 31 Votes (Like | Disagree)
steve09090 Avatar
13 weeks ago
Half of Macrumor members…. "Apple are going downhill fast. Time Cook has destroyed this company"! ???

Well done Apple, Well done Tim. You have done well with my monthly paychecks.
Score: 24 Votes (Like | Disagree)
Mrkevinfinnerty Avatar
13 weeks ago

This year, it is estimated Apple spent $32,000,000,000,000 on R&D. I think they’ve done a bit…
Last decade their R&D expenditure is less that $200 billion. Same period, they've spent nearly $700 billion on their own stock.

Clearly shows where the priorities are, shareholder value > product.
Score: 17 Votes (Like | Disagree)
WarmWinterHat Avatar
13 weeks ago

Apple is like Coach. They have a prestige brand even if the purses aren't well-made anymore and fall apart. So it's. Win-win unless you care about quality
The hardware is (mostly) fantastic. The software, however, is getting pretty sad, buggy and too-tied to and pushing towards services.
Score: 16 Votes (Like | Disagree)
Mrkevinfinnerty Avatar
13 weeks ago
What happens when you spend more on share buy backs than r&d
Score: 14 Votes (Like | Disagree)
citysnaps Avatar
13 weeks ago

Most investments indirectly profit by how Apple is doing so anyone who does investing should be happy.

On the other hand as consumers, we can't but feel bad about our Apple spending habits :(.
What's to feel bad about?
Score: 13 Votes (Like | Disagree)