Apple on track to become the first company worth US$1 trillion
iPhone X seen driving pent-up upgrades in China
Apple’s shares rose to a record high on Friday as more analysts set a trillion-dollar valuation on the company, following a blowout fourth quarter and an upbeat forecast that quashed investor concerns around the iPhone X.
The stock rose as much as 3.7 per cent to US$174.26, briefly breaching US$900 billion in market value, amid declines in the broader market. The gains added nearly US$32 billion to the company’s market capitalisation.
The Cupertino, California-based company also forecast a strong holiday quarter ahead, which will include the iPhone X that started selling on November 3.
“We see iPhone X unlocking pent-up iPhone upgrades, especially in China, driving more than 20 per cent iPhone unit growth and a revenue and earnings beat in 2018,” analyst Katy Huberty on Morgan Stanley said.
The glass-and-steel US$999 phone appeared to have brought back the frenzy associated with iPhone launches – long lines formed outside Apple stores across the world as fans flocked to buy the new phone.