Market Cap refers to the total value of the circulating shares of any company that belongs to its shareholders, including employees and members of the board of directors or natural and legal persons outside the business.
Shares are non-physical assets of any company, and if no one is willing to buy them, they will have no value; Therefore, the increase in the market value of any company shows the trust of the shareholders in the business of that company.
From this point of view, it can be said that Apple is among the most valuable companies in the world based on its market value, and it seems that better days are ahead.
Quoted from Business InsiderIn late July 2023, Apple reached its highest market value of $3.1 trillion, which is 310 times the amount required to be considered a large company and more than the entire GDP of the United Kingdom in 2022.
Apple’s market value reached its peak in the last summer and then entered a downward slope in September and decreased to 2.8 trillion dollars; But it managed to recover and reach $3.03 trillion to make Apple the world’s most valuable brand in 2023.
The market value is calculated by multiplying the price of each share by the total number of tradable shares in the capital market. The market value of the company that created the MacBook laptop is very high; Because its stock price is high and with about 15.5 billion shares outstanding, it has led to a huge market value for the Cupertino tech giant.
Why is the price of Apple shares as high as the price of this company’s products, including the price of the iPhone? Cupertinos have proven in the long term that they can be among the most innovative companies in the world and provide the income growth desired by investors.
Despite the sensitivity of the technology sector’s products to a slowdown in economic growth, shareholders recognize Apple’s business as a safe investment. Apple products are ubiquitous and this brand has been able to gain people’s trust over the years.
In 2003, the approximate market value of Apple was 7.88 billion dollars. In 2013, this number reached 500.7 billion dollars and 5 years later, in 2018, it reached 746.07 billion dollars. At the end of 2019, Apple’s market value entered the trillion dollar channel and followed the same path until reaching the current situation.