February 8, 2012

Apple's $90 Billion Run

Philip Elmer-Dewitt:

“On Oct. 4, the day before Steve Jobs passed away, Apple (AAPL) shares closed at $372.50 and its market cap stood at $347 billion.

Four months later, the stock is up nearly $100 and it’s market cap is $437 billion. To put that $90 billion gain in perspective, it’s nine tenths the value analysts have placed on Facebook in advance of its initial public offering.”

Facebook’s real value is debatable, because they’ve not yet been traded on the open market. So using analysts’ valuation in this computation is an arguable step to determining how Apple has fared since the death of Steve Jobs.

We can agree, though, that Facebook is wildly popular and surely worth a great deal. That Apple has gained in value an amount nearly equal to the most recent guess at Facebook’s value is remarkable. Doubly so when you consider pundits’ predictions of Apple’s imminent downfall even before Steve’s image was off the Apple web site.

Coming up later this year: a new iPhone, a new iPad, and updates to Apple’s popular laptop lines. Rumored is a 15-inch MacBook Air. No doubt Apple’s market cap will expand further by year’s end.

Apple fans are living in a golden age no-one expected.