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Apple's Market Valuation Hits Historic $3 Trillion Amid Investor Confidence, Expected Growth

Apple's market value soared to $3 trillion this past Friday as the tech giant's stock price surged by 1%, surpassing the necessary $190.73 mark to reach this milestone.


While the company managed to touch the $3 trillion valuation during a trading session in January 2022, it did not retain this peak by market close. Apple will have another opportunity to do so this coming Friday.


Investors' ongoing faith in Apple and its product and service range continues to hold firm, notwithstanding the company's announcement in May indicating an anticipated 3% revenue dip for the current quarter.


During the Worldwide Developers Conference (WWDC) on June 5, 2023, held at Apple's Cupertino, California-based Apple Park campus, Apple CEO Tim Cook made his address. Apple is predicted to unveil its high-end mixed-reality headgear at the annual event, posing a direct challenge to Meta, previously known as Facebook, in an as-yet-undeveloped market.


Despite a tumultuous year for the tech industry, with several tech heavyweights pledging to "do more with less" and subsequent layoffs of thousands of employees, investors view Apple as a beacon of stability.


Dan Ives, a Senior Equity Research Analyst at Wedbush Securities, expressed this sentiment in a note on Friday, "Countless Apple skeptics and naysayers have questioned the company's growth narrative this year, given the challenging backdrop. In contrast, we maintain a strong conviction that Apple is on the brink of a significant growth resurgence over the next year to a year and a half."


Ives further stated, "In our perspective, the market has grossly undervalued the enormous opportunity for upgrading the existing user base around the iPhone 14 and upcoming 'mini super cycle' iPhone 15. Approximately 25% of Apple's core customer base hasn't updated their iPhones in over four years."


Year-to-date, Apple's stock has risen approximately 47%.

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