Apple Inc has finally made history today as the first private company to hit the one trillion dollar market capitalization milestone and cross it.
Chinese government owned PetroChina had briefly hit the one trillion dollar mark in 2007 during its initial public offer but has since dropped down.
Apple Inc achieved this spectacular feat on Thursday as its shares surged on the back of strong quarterly results.
Its shares briefly went up to $207.5 in late morning trading before a retreat to $206.85 at 1620GMT. The tech giant reported strong earnings on Tuesday which has led to a rally in its share price.
Apple says it currently has 4.83 billion shares outstanding and its share price rally also led to the Dow crossing 25,000 for the first time in history.
“The $1 trillion mark is more psychological, and sends a message of growth and size into the market,” said Howard Silverblatt, senior index analyst at S&P Dow Jones Indices.
However, several financial insiders view the record as nothing spectacular, despite breaching the psychological barrier.
“There’s no real excitement on the trading desk,” said Karl Haeling of LBBW. “It’s one of those things that does not mean anything by itself… it’s more a testimony of the importance of Apple on the market.”
This latest achievement is a testimony to the capability of Apple’s chief executive, Tim Cook to run the iconic US firm. He had initially faced skepticism when he took the reins of the firm in 2011 following the death of founder Steve Jobs.
Jobs takes credit for steering the firm out of disaster and near bankruptcy and launching many of its most iconic products including the iphone, ipad, ipod and itunes.
However, cook has gradually won over investors by extending Apple’s market to China and other foreign markets and turning in fantastic results.
Apple on Tuesday reported a 30 percent increase in net profit to $11.5 billion with fiscal third quarter revenues up 17 percent to $53.3 billion compared to same period last year.