Apple was the first U.S. publicly-traded company to hit $1 trillion in 2018, and was the first U.S. company to hit $2 trillion in 2020. Now valued at $2.96 trillion, Apple is about to set another record by being the first company — in the U.S. and the world — to hit a $3 trillion market cap. Put into context, this milestone places it as the world’s fifth-largest economy, after Germany.
“Apple does seem to be more immune to the ebb and flow of economic forces just because of this really strong brand. Its new product pipeline is pretty strong too,” Hargreaves Lansdown analyst Susannah Streeter told Reuters.
There are several reasons why Apple has been growing strong despite “larger than expected supply constraints.” Constellation Research founder Ray Wang told Fox Business that the refresh of the Mac with the M1 chip and the release of new products and potential new technology (like its car and glasses) are some of the factors steadily pushing its value to $3 trillion.
Apple isn’t the only U.S. company in the trillion-dollar club. Rival Microsoft is at a relatively close second with a market cap of $2.5 trillion. Google and Amazon are short of a $2 trillion market cap, valued at $1.9 and $1.7 trillion respectively. Carmaker Tesla did manage to hit $1 trillion earlier this year, but its market cap is now down to $981.7 billion.