Apple shares have been on a ferocious tear, up 34% year to date, leaving it less than 5% away from a $3 trillion market capitalization, a milestone never hit by any other public company. The rally includes a startling 18% spurt in just the past four weeks, a period in which the S&P 500 has improved less than 2%.
It’s an astonishing performance. Keep in mind that there’s only one other company— Microsoft —with a market cap above $2 trillion, and just three others—Alphabet , Amazon.com , and Tesla —above $1 trillion. Founded in 1976, it took Apple 44 years to reach the $1 trillion level for the first time, in 2018. Two years later, in August 2020, the stock hit $2 trillion. And now just 15 months later, the stock is zeroing in on $3 trillion.
So what’s going on here?
I’d argue that there are at least four reasons why Apple stock (ticker: AAPL) continues to rally to higher highs—and why $3 trillion will eventually look more like the floor than the ceiling.
