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Apple’s capitalization rises amid record rises in stock prices
Shares of U.S. electronics maker Apple have set a new record. The value of securities at the beginning of the trading session on the NASDAQ stock exchange rose by 0.95% to almost 184 dollars per unit. Thus Apple’s capitalization rose to $3.0 trillion.
Over the past year the stock price rose by 35%, and this increase was negligible compared to 2020, when the securities rose by 80%. At the same time, the S&P 500 index for the last period showed an increase of 26%.
Apple’s capitalization surpassed the $1 trillion threshold back in 2018. And at that time, the iPhone maker was the first business in the country to reach this size of market value. By the summer of 2020, this figure had doubled to $2 trillion, and by the end of 2021, capitalization had increased to $2.9 trillion.
According to analysts at Morgan Stanley Investment Corporation, the technology company’s shares are an ideal investment decision in 2022. Experts raised the target value of securities of the American manufacturer to the level of $200 dollars. And they believe that the shares of the IT-company are still undervalued and within a year should be expected to rise in price by 14%. Morgan Stanley believes that the capitalization of Apple will grow even more, because the current figures do not include new products of the company, for example, drones and sets of augmented reality. Analysts expect that after the presentation of AR / VR devices stock prices will break new historical records.
Despite its success on the exchange, the manufacturer has a few controversial points that could slow down the increase in value. These include Apple’s conflict with video game developer Epic Games, which arose after the game studio added functionality to its product that allowed payment not through the App Store. After such actions, the application from Epic Games was removed from the official Apple store. The developer explained its position by the fact that the App Store has a high commission charged for payment operations – it is about 30%. After this, proceedings began between the companies, as a result of which the court ordered Apple to change the rules of the store. In addition, many studios sided with Epic Games. Previously, the App Store prohibited developers from posting links to third-party payment systems.
Despite the fact that the corporation made concessions, the main point remained on Apple’s side. The company was not recognized as a monopolist, which means that it will not be subject to measures from the American regulator.