AAPL hits new closing high of $227.63, capping historic August for the company
Apple, which began August by hitting $200 a share and crossing the trillion-dollar valuation mark the following day, hit another new all-time closing high of $227.63 on August 31.
The rally capped off an historic month for Apple, ahead of the expected arrival of a new iPhone lineup and other new hardware on Sept. 12. The price had reached as high as $228.78 on Friday morning.
The stock performance can best be attributed to lots of good news for the company and very little bad news.
On August 1, one day after a positive quarterly earnings report, Apple's stock hit $200 a share for the first time since the 2014 stock split. The next day, Apple became the first American company in history to reach a market capitalization of $1 trillion.
Later in August, investor Warren Buffett announced that he had once again upped his Apple stake, and a leak appeared of two iPhone models that are expected as part of this fall's lineup of that key Apple product.
As a result, the stock climbed steadily throughout the month, from the $200 milestone on the 1st to $227.63 on the 31st. It's just the latest of several times this year Apple has broken its all-time high valuation.
The rally capped off an historic month for Apple, ahead of the expected arrival of a new iPhone lineup and other new hardware on Sept. 12. The price had reached as high as $228.78 on Friday morning.
The stock performance can best be attributed to lots of good news for the company and very little bad news.
On August 1, one day after a positive quarterly earnings report, Apple's stock hit $200 a share for the first time since the 2014 stock split. The next day, Apple became the first American company in history to reach a market capitalization of $1 trillion.
Later in August, investor Warren Buffett announced that he had once again upped his Apple stake, and a leak appeared of two iPhone models that are expected as part of this fall's lineup of that key Apple product.
As a result, the stock climbed steadily throughout the month, from the $200 milestone on the 1st to $227.63 on the 31st. It's just the latest of several times this year Apple has broken its all-time high valuation.
Comments
Bring on 2 Trillion...
Clearly, Cook must resign.
Cramer beware.
I’ll say it again, market cap doesn’t mean anything except maybe bragging rights.
For reference: https://forums.appleinsider.com/discussion/204514/apple-stock-price-sets-new-post-split-record-closing-at-179-98
As to cloud computing, Apple is one of the largest, if not the largest, in that space. It’s just that they consume all of their own cloud services for use in serving their customers. iCloud and Siri are huge,but Apple doesn’t rent its cloud so you don’t hear about it on Wall St. What you also don’t hear is the comparison of Apple’s new businesses, like Apple Watch, Airpods, services, etc, to Amazon’s cloud. Heck, I’d bet AppleCare brings in more revenue and profits and is growing faster than Amazon’s cloud. Or if not AppleCare, then Apple Watch. Where’s the respect for those businesses? What makes cloud so magical? And why aren’t you recognizing the contribution Apple’s cloud makes to its overall business of selling highly profitable hardware? I suspect the reason is, you’re thinking is too simplistic and one-dimensional on this topic. Are you a Wall St analyst? Just asking.
Product companies are are typically valued at 4x revenue. Subscription based services businesses are typically valued at 7x revenues. Apple’s been between 3-4x for many years. This is why you’re seeing the stock rise daily, almost regardless of the overall market.
Like Ramanpfaff (see his earlier comment), I’ve had between 75-90% of my net worth in Apple for a long time. Only recently, almost begrudgingly, have I begun diversifying, now at 65% in Apple. I’ve made over $1.5m in the stock since taking my first position in it in July 2011, just six weeks before Jobs stepped down from the CEO role. If you look at the world’s billionaires, most made their money focused on one business, which they pursued with passion. That’s what Ramanpfaff and I know and it’s served us well.
Just want to clear up some of your misconceptions.
1. Apple doesn't manage their own cloud for iCloud. They use Google Cloud currently. My educated guess why they are using GCP over AWS is because Google is trying to get into this domain and is trying to increase incentives for companies to start or jump ship on GCP.
https://www.cnbc.com/2018/02/26/apple-confirms-it-uses-google-cloud-for-icloud.html
https://www.theverge.com/2018/2/26/17053496/apple-google-cloud-platform-icloud-confirmation
https://arstechnica.com/gadgets/2018/02/your-apple-icloud-data-is-now-stored-on-google-servers-surprised/
2. Regardless of revenue, Amazon Cloud is much larger than Apple's cloud solutions by just about every single facet. They have many more engineers, have a broader reach into society, and literally serve a ton of Fortune 100 companies' infrastructure. Apple won't ever "rent" their half-cloud services because that is not their forte. They have never been a services company to anyone outside their ecosystem, and I'm sure if they tried, their inexperience could cause other major issues.
I guarantee you that 75% if not more of the applications/services you use on your Apple devices are actually served by clients on an AWS stack indirectly or directly.