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Apple has become the world's first public company to be worth $1 trillion (£767bn).

The iPhone maker's market value reached the figure in New York on Thursday and its shares closed at a new record high of $207.39.

The stock has been rising since Tuesday when it reported better than expected results for the three months to June.

Apple beat Silicon Valley rivals such as Amazon and Microsoft to become the first to hit the $1 trillion valuation.

Since the iPhone first went on sale in 2007, Apple shares have soared by 1,100% and have jumped almost a third in the past year.

The rise is even more astonishing - 50,000% - since the company first listed in 1980. That dwarfs the 2,000% increase for the S&P 500 index over the same period.

Apple traces its origins to the garage of co-founder Steve Jobs in 1976 and was initially best known for its Mac personal computers before its smartphone paved the way for the app economy.

Mr Jobs, who died in 2011 and was succeeded as chief executive by Tim Cook, oversaw the development of the iPhone, which transformed Apple's fortunes.

In 2006 the company had sales of less than $20bn and posted profits of almost $2bn.

Last year its sales hit $229bn, with profits of $48.4bn, making it the most profitable listed US company.

PetroChina was briefly worth about $1.1 trillion after floating in Shanghai in 2007, although most of its shares were held by the Chinese government. It is now worth about $220bn.

Despite its $1 trillion price tag, many analysts still do not view Apple's shares as expensive given that they trade at about 15 times expected profits, compared with a figure of 82 for Amazon and 25 times for Microsoft.

Also boosting Apple shares in recent months was the company's decision to set aside $100bn to buy back stock.

Media playback is unsupported on your device Media caption Why Apple is worth $1 trillion... and who could challenge it

Image copyright Getty Images Image caption Apple opened a store in Milan last week

Analysis

By Dave Lee, North America technology reporter

It may have been the vision of Steve Jobs that hurtled Apple towards this milestone, but it was the business acumen of Tim Cook that tipped them over.

While other tech stocks have struggled, Apple has soared ahead. The surge in its shares has been driven by two key factors.

It is selling fewer iPhones, but by releasing a more expensive version last year, it is making more money per device.

Apple has also diversified the sources of its profits. It now makes about $10bn every three months from services such as selling apps, cloud storage and music streaming.

The firm told investors this week that it expected a very strong end to the year helped, naturally, by the release of yet another new iPhone.

Stock markets are volatile, and a small but growing threat from Chinese smartphone makers might eat into Apple's margins in the coming years.

But no matter what your view of the company and its products, Apple devices have changed the world - and today made financial history as well.</s>Apple becomes first publicly traded company to be worth $1 trillion

NEW YORK (AP) — Apple becomes first publicly traded company to be worth $1 trillion.</s>Apple’s market valuation surged past the $1 trillion point for the first time

Apple’s market valuation surged past the $1 trillion point for the first time BODE MARKS

APPLE'S market valuation surged past the $1 trillion point for the first time on Thursday, the first time in history a company has reached that level.

Shares surged 2.5 per cent late afternoon, UK time, but then fell back, taking the valuation back to $988bn.

Markets have been waiting for the tech giant to break the trillion barrier in recent weeks, with anticipation increasing earlier this week when the company's stock rose 3.3 per cent after its latest results were announced.

The firm beat sales estimates despite iPhone sales dwindling, as it sold more expensive models during the third quarter to make up the difference.

Earlier on Thursday afternoon, Apple's Stocks app mistakenly labelled its creator as the world's first trillion-dollar company. It falsely claimed to have already broken past $1 trillion, because of a technical fault with the app built into the iPhone.

The glitch occurred because Apple announced a substantial share buyback programme after reporting its third quarter figures, which meant that the total number of shares in issue went down, increasing the value the share price had to reach before it pushed the company over $1 trillion.

However, the update was not added to the Stocks app. That meant that a small surge in Apple's shares showed the company as being worth $1 trillion when it was not.

When asked, Siri informed iPhone users that the company had passed the trillion dollar mark - though the error was fixed later in the day.

In becoming the first company to ever reach a market valuation of $1tn, Apple joins an exclusive list of companies that have made history in market valuations in the past.

That group includes the likes of Microsoft - which was the first to reach a market valuation of $500b - as well as IBM ($100b), General Motors ($10b), and US Steel ($1b).

Several other companies are close behind Apple in market valuation, and could very well become trillion dollar companies in the future.

That list of companies includes Microsoft itself, as well as Amazon, and the parent company of Google, Alphabet.</s>Apple became the first $1 trillion company shortly before noon on Thursday, briefly crossing the lofty mark in a closely watched ascent that made stock market history.

"Apple's $1 trillion cap is equal to about 5 percent of the total gross domestic product of the United States in 2018," said David Kass, professor of finance at the University of Maryland. "That puts this company in perspective."

Apple closed Thursday above the $1 trillion mark, finishing the day up 2.92 percent at a share price of $207.39. The price gave the stock a market value of $1,001,678,000,000 — or $1.002 trillion rounded up.

Apple first crossed the threshold in Thursday trading following a strong third-quarter report that showed earnings beat expectations and also showed increased revenue from the technology giant's services and software businesses.

Wall Street loved it. Apple climbed nearly 9 percent since the earnings report.

"The combination of a strong macro environment and an increasingly engaged customer base led to double-digit growth in all regions," Morgan Stanley said in a note, according to CNBC. "A clean beat on the path to $1 trillion."

Apple on Wednesday stated in a regulatory filing that as of July 20, 2018, the company had 4,829,926,000 shares, said Howard Silverblatt, a senior index analyst with S&P Dow Jones Indices.

Based on that number, Apple needed a $207.05 price to reach $1 trillion in market value, Silverblatt said. If the company continues to buy back its shares, the $207.05 price will rise. In calculating market cap, S&P uses the most recent number of shares trading multiplied by the stock price.

Apple is among the most widely held stocks in the world. It makes more money and pays its owners — the shareholders — more than any other public enterprise on the planet.

Because of its size and value, the health of Apple ripples through the U.S. economy and its markets. It pays dividends to tens of millions of investors who own Apple stock directly or indirectly, from pension funds to individuals.

"What's remarkable about Apple is not so much its stock price as the amount of money that it makes," said Chris Brightman, chief investment officer of Research Affiliates, an institutional investor with more than $200 billion under management.

The iPhone's launch on June 29, 2007, turned the Cupertino, Calif.-based Apple into a financial juggernaut.

That year saw Apple's market value climb from $72 billion to $173 billion. It breached $500 billion in 2012; then $600 billion in 2016.

As the stock market has climbed up and up this year, technology companies have propelled the gains. Amazon, Google-parent Alphabet and Microsoft have all watched their fortunes rise — and investors have watched closely to see which would hit $1 trillion first.

"Someone's got to cross that $1 trillion line first," financial historian Niall Ferguson said. "I guess you wouldn't have put your money on Apple being the winner prior to the iPhone."</s>It's official. Apple on Thursday became worth over $1 trillion. Yes, that's right, $1 trillion. As in $1,000,000,000,000.

Shortly before 9 a.m. PT on Thursday, Apple's stock hit $207.05 a share, giving it a market capitalization at that trillion-dollar mark. Apple -- the biggest public company in the world -- had 4,829,926,000 shares outstanding as of July 20, which meant its stock had to hit $207.05 to be worth $1 trillion.

The stock dipped below that level during Thursday's trading session but closed up 2.9 percent at $207.39, cementing the iPhone maker's new status as a trillion-dollar company and the first US public company to hit that level.

That made Apple worth more than all but the 15 richest countries in the world, based on 2017 data from the CIA World Factbook (that's the number with a gross domestic product totaling more than $1 trillion last year). And this is only the second time a public company has ever been valued in the 13 digits. PetroChina, an oil and gas company, topped $1 trillion for a short time on the Shanghai Stock Exchange in 2007.

In a memo sent Thursday to Apple employees, CEO Tim Cook called the valuation a "significant milestone" but added that it wasn't the "most important measure" of the company's success.

"Financial returns are simply the result of Apple's innovation, putting our products and customers first, and always staying true to our values," Cook wrote, according to Reuters, which saw a copy of the memo.

He also referenced Apple co-founder Steve Jobs in the memo. "Steve founded Apple on the belief that the power of human creativity can solve even the biggest challenges -- and that the people who are crazy enough to think they can change the world are the ones who do," Cook wrote.

Apple has been on a tear over the past few years. The company's iPhone is one of the best-selling devices in the world, and Apple's fiscal fourth-quarter revenue projections indicate it's optimistic about the phones expected in September. At the same time, the company has been expanding into new markets like wearables, and revenue from its software and services, like Apple Music and the App Store, have been soaring.

Last year's iPhone X was the first major iPhone design in three years. Apple ditched the TouchID button in favor of Face ID technology and touted the device as the "future of mobile." Since it hit stores Nov. 3, the iPhone X has been Apple's best-selling device. That's even though it's the most expensive phone Apple's ever sold. The 5.8-inch device starts at $999, or $300 more than the 4.7-inch iPhone 8 and $200 more than the 5.5-inch iPhone 8 Plus.

Apple is expected to introduce three new iPhones in September, including the possibility for a model considerably larger than the iPhone X and another that's significantly less expensive.

All of that has helped Apple become the most valuable public company in the world.

Some analysts believe that even though Apple is valued for the moment at over $1 trillion, it's worth even more still.

"In the end, we continue to believe Apple remains one of the most underappreciated stocks in the world with a valuation that remains depressed," Monness Crespi Hardt analyst Brian White noted.

Originally published Aug. 2, 8:59 a.m. PT

Update, Aug. 2 at 1:05 p.m. PT with Apple's closing share price.

Update, Aug. 3 at 6:14 a.m. PT: Adds details of CEO Tim Cook's memo.

iPhone X review: The device is a winner, though you may want to wait for the next iPhone at this point.

Follow the Money: This is how digital cash is changing the way we save, shop and work.</s>Apple briefly hit the $1 trillion mark, becoming the first publicly traded company in the U.S. to reach 13 figures in terms of market value.

Apple shares topped $207 on Thursday, pushing the company to a market capitalization of $1 trillion. The share price first hit the magic number just before noon, before falling back to around $206, then rising past $207 again just after 1:30 p.m. A company's market value is calculated by multiplying its current share price by the total number of shares investors hold.

The milestone comes a day after Apple reported blockbuster quarterly earnings. The tech giant had relatively flat iPhone sales but increased its revenue thanks largely to higher-priced models including the iPhone X, with a list price of just under $1,000. The company also boosted its revenue from services, including Apple Music and the app store.

The world's most valuable company has also goosed its stock price through buybacks. Apple announced $100 billion in stock buybacks on May 1, the largest repurchase ever by a U.S. public company. Stock buybacks reduce the number of shares a company has on the open market, driving up the price of the remaining shares.

Although many have doubted Apple's staying power over the years, unlike many hardware makers the company has ridden the elegance and functionality of its devices. Under CEO Tim Cook, Apple also has embraced the internet, with its thriving services business helping propel the company toward the new milestone.

More recently, Apple has been in a race to $1 trillion with Seattle-based e-commerce giant Amazon, which is currently valued around $879 billion.

Apple said it expects revenue of $60 billion to $62 billion for the fiscal fourth quarter that ends in Sept. 30. Its net cash stood at $129 billion, according to Moody's analyst Stephen Sohn.

Stock market veterans note that the first trillion-dollar public company -- if only briefly -- appears to have been PetroChina Co., whose shares soared like a rocket past the $1 trillion mark in November 2007 after a Shanghai listing was pumped up by speculators. PetroChina stock soon crashed to earth, losing an astounding $800 billion for shareholders in what Bloomberg News calls "the biggest stock slump in world history."</s>How do you like them apples?

Apple just became the first American public company to cross $1 trillion in value.

The iPhone maker achieved that big number on Thursday when the stock passed $207.04 a share. Apple is now up more than 20% this year.

Shares surged after Apple reported earnings that topped forecasts and a healthy outlook on Wednesday.

Even though some think Apple needs a new product to keep sales and profits booming, Apple has rallied past the trillion level thanks to solid sales of the iPhone 8 and X — particularly in China and Japan — and surging services revenue from the App Store.

Apple is benefiting from investor euphoria surrounding the tech sector broadly as well — and it could soon have company in the trillion dollar club.

Amazon, Google owner Alphabet and Microsoft have all rallied to near record highs this year, too. Amazon is worth nearly $900 billion while Google and Microsoft are each now worth more than $800 billion.

Apple is not the first publicly traded company in the world to surpass the trillion dollar mark though.

Oil giant PetroChina briefly topped a trillion dollar valuation in 2007 when its stock began trading in Shanghai, but shares quickly plunged afterward. PetroChina, which is also listed on the New York Stock Exchange, is now worth about $205 billion.</s>Apple on Thursday became the first private-sector company in history to be worth $1 trillion, after its share price reached an all-time high above $207.

The share price jumped by more than 8 percent this week after Apple reported impressive quarterly earnings on Tuesday, driven largely by strong sales for high-price iPhones. In a call with investors, CEO Tim Cook also touted growth in other areas such as smart home products, wearables, and services like the App Store and Apple Pay.

The $1 trillion milestone is largely symbolic, though impressive. Apple's market capitalization — a common financial measure of worth which multiplies the number of shares by the share price — makes the company worth more than the economies of, for example, Saudi Arabia, Switzerland and Taiwan.

The tech company, launched from a garage in 1976, has been on a steady climb through the years, revolutionizing personal computers and phones with its Macs and iPhones. In recent years, Apple has been working to spread its cult-like following to newer devices like smart watches, cordless headphones and smart home speakers.

PetroChina once had a $1 trillion valuation, but only briefly, and most of its shares were owned by the Chinese government.

Other technology companies with high-flying, trendy stocks are expected to join Apple in the $1 trillion club before long. In recent years, the financial world considered Amazon and Apple to be in race toward the milestone. On Thursday, Apple finished first.</s>SAN FRANCISCO >> Apple has become the world’s first publicly traded company to be valued at $1 trillion.

SAN FRANCISCO >> Apple has become the world’s first publicly traded company to be valued at $1 trillion.

The milestone marks the triumph of stylish technology that has redefined what we expect from our gadgets ever since two mavericks named Steve started the company 42 years ago.

The peak reached today seemed unimaginable in 1997 when Apple teetered on the edge of bankruptcy, with its stock trading for less than $1.

To survive, Apple brought back its once-exiled co-founder, Steve Jobs, as interim CEO and turned to its archrival Microsoft for a $150 million cash infusion to help pay its bills.

Jobs eventually introduced popular products such as the iPod and iPhone that subsequently drove Apple’s rise. The stock has been surging this week as anticipation mounts for the next generation of iPhone, expected to be released in September.

Apple hit the $1 trillion mark when its shares reached an all-time high of $207.05 around midday in New York. The shares are up 22 percent so far this year.

Jobs’ vision, showmanship and sense of style propelled Apple’s comeback. But it might not have happened if he hadn’t evolved into a more mature leader after his exit from the company in 1985. His ignominious departure came after losing a power struggle with John Sculley, a former Pepsico executive who he recruited to become Apple’s CEO in 1983 — seven years after he and his geeky friend Steve Wozniak teamed up to start the company with the administrative help of Ronald Wayne.

Jobs remained mercurial when he returned to Apple, but he had also become more thoughtful and adept at spotting talent that would help him create a revolutionary innovation factory. One of his biggest coups came in 1998 when he lured a soft-spoken Southerner, Tim Cook, away from Compaq Computer at a time when Apple’s survival remained in doubt.

Cook’s hiring may have been one of the best things Jobs did for Apple. In addition, that is, to shepherding a decade-long succession of iconic products that transformed Apple from a technological boutique to a cultural phenomenon and moneymaking machine.</s>You know what is cooler than being worth $1 billion? Being worth $1 trillion.

With Apple crossing a historic milestone to become the first U.S. company in history to be worth $1 trillion, we decided to take a look at some of the most outlandish things Apple could buy with all of that money. From iPhones to Disney, unsurprisingly the answer is quite a lot.

There are roughly 7.5 billion people in the world, so what better way to say thank you than to buy 1 billion of them new iPhone Xs. While not enough to give everyone in China or India a new phone, at a starting price of $999.99 for the 64GB model Apple can still gift nearly 13 percent percent of the world's population with its latest iPhone (or latest model for now).

Apple would rank No. 17 if it was the GDP of a country

Apple's $1 trillion market cap is larger than the gross domestic product of all but 16 countries based on data from the International Monetary Fund. Slotting in at the 17th spot behind Indonesia ($1.07 trillion), Apple would be larger than the GDPs of the Netherlands, Turkey, Saudi Arabia, Switzerland and Argentina.

Its valuation is also more than the GDPs of Ireland, Israel and Greece – combined.

A man sells greek flags during a protest against Greece's new name deal with Macedonia in Athens, on July 1, 2018. Greece and Macedonia signed a historic preliminary agreement to rename the small Balkan nation the Republic of North Macedonia, ending a row that has poisoned relations between the two neighbours since 1991.

It is triple the size of Samsung

Apple's biggest smartphone rival has been Samsung and its Galaxy S and Note line of smartphones. While Apple doesn't have enough money to buy Android-maker Google, the company could purchase Samsung, which is worth $326.44 trillion South Korean Won, or about $289.4 billion in U.S. currency.

Apple not only would benefit from owning the Samsung maker, but also get the South Korean giant's impressive manufacturing capabilities, which Apple already uses to make some parts for its own products.

A man walks past a display for Samsung Galaxy S9 smartphones at the company's showroom in Seoul on July 31, 2018. Samsung Electronics on July 31 reported a 0.1 percent dip in its second quarter net profit from a year earlier, blaming slower global sales of premium smartphones that dented demand for its flagship Galaxy device.

Apple has been making moves to build out its streaming content portfolio, but why not take a shortcut and pick up three of the biggest content makers in the world? With $1 trillion, Apple can go out and buy The Walt Disney Co. (market cap of $168.16 billion), Netflix ($146.94) and AT&T, which recently purchased HBO-owner Time Warner ($234.48), and still have roughly $450 billion left over.

Who wouldn't subscribe to a streaming service that has "The Avengers," "Star Wars," "Stranger Things" and "Game of Thrones"?

The Marvel superheroes of "Avengers: Infinity War" will be getting new folks to meet with Disney's purchase of Fox.

All the teams on the Forbes top 50 most valuable list

Why stop at media? With a trillion dollars Apple can amass the greatest fantasy sports roster every by acquiring every team on Forbes' top 50 most valuable sports teams list. This includes 29 NFL teams led by the Dallas Cowboys ($4.8 billion); international soccer powerhouses Manchester United ($4.123 billion), Real Madrid ($4.09 billion) and Barcelona ($4.064 billion); as well as the most valuable MLB and NBA teams: the New York Yankees ($4 billion) and New York Knicks ($3.6 billion).

The total for the lot: $137 billion.

Get into cars with Tesla ... and Ford

There have been rumors for years of Apple working on a car, but as with streaming video, why not just buy your way into the market? For Apple, it wouldn't even cost that much. Tesla, a company that gets equated to Apple both for its products and its passionate legion of followers, is worth $55.63 billion, a relative bargain.

Want to add more manufacturing muscle? Apple can also kick the tires on Ford, which at a market cap of $39.4 billion would give Apple two major automakers for less than $100 billion.

More: Apple's worth $1 trillion. What $1 trillion looks like in iPhones

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More: Apple makes history by becoming first U.S. company to reach $1 trillion market value
Apple Inc. becomes the first public company to be worth US$1 trillion.