Apple returns to the top of its market value
On the morning of October 12, Beijing time, Apple's share price hit another record high at the close of Friday. Over the past year, uncertain iPhone demand has put pressure on Apple's stock and affected investor sentiment. Now the cloud seems to be dissipating.
Apple shares rose 2.7% to $236.21 on Friday local time, surpassing the peak set a year ago and setting a new record. Due to the rising share price, apple once again pushed Microsoft to become the world's most valuable company. The market value of apple and Microsoft has exceeded $1 trillion.
Compared with its low in January, Apple's share price has risen 60% and its market value has exceeded $1 trillion again. In the fourth quarter of 2018, Apple's share price was weak due to concerns about the sluggish demand for iPhone, which seems to have eased in 2019.
Recently, apple cook told Bild that he was quite satisfied with the recently released iPhone 11. It was also reported that Apple had told suppliers to expand production capacity in early October. In terms of demand, analysts are becoming more and more optimistic. In addition, Apple may launch 5g mobile phone next year, and analysts think it will sell well.
Apple has also changed a lot from when its share price hit a high a year ago. Apple is transforming into a service-oriented company, launching streaming video services, breaking into the video game market and issuing credit cards. In addition, the price of new equipment is cheaper than in the past.
Although Apple pays more and more attention to the service industry, the iPhone is still Apple's pillar product. In the third quarter, iPhone revenue accounted for about half of Apple's total revenue, and service revenue accounted for only 21.3%. On October 30, Apple will release its fourth quarter results. Analysts expect Apple's fourth quarter earnings per share to reach $2.84 and revenue to reach $62.9 billion, that is, earnings will decrease by 2.6% and revenue growth will remain stable.
Bloomberg MODL expects apple to ship 41.9 million mobile phones in the fourth quarter, with an average price of $77.35. If the figures are accurate, that is, Apple's shipments in the fourth quarter will decrease by 14.5% year-on-year, and the average selling price will decrease by 3.1%.