Apple, a company born in the garage by college dropouts, breaks $2 Trillion ceiling

Apple is now the first US company with a valuation of more than $2 Trillion.

This news came 2 years after Apple had become the world's first trillion-dollar company. The iPhone maker's stock hit the $2 trillion mark before dipping back slightly below that level on Wednesday.

For comparison, NEPSE, the only stock exchange of Nepal, has the total market capitalization of $12.779 Billion. This means that the valuation of Apple is more than 156 times the total worth of Nepal's entire stock exchange.

Even Nepal, an entire country's GDP is far less than the tech giant's worth. Apple is about 69 times more valuable than Nepal's GDP of $29.04 Billion.

While the march to $1 trillion might have been on the shoulders of the iPhone, Apple’s Services business and other products have played an important role in the 2 trillion dollars journey.

Apple's share price has leaped more than 50% this year. This can be attributed to Apple's shift from sole dependence to the sale of its iPhones and gadgets to income from services to its users as well. Moreover, the Covid-19 pandemic has changed the whole equation of investing for institutional investors, with many of them shifting funds to companies less prone to the pandemic.

At the time of writing, the company Apple's (AAPL) last trading price (LTP) is USD 462.83 per share. Although it crossed the $2 trillion mark on Wednesday, as of writing, Apple has fallen back a bit with a market cap of $1.98T.

Meanwhile, Apple's stock will split 4:1 at the end of the month, which will cut the price of a single share at about $116. The value of Apple remains the same since the company will simply have more shares trading at a lower price. This only means that investors will get a portion of the country at a cheaper price.

However, it should be noted that Apple is not the first company to break the $2 trillion ceilings worldwide. Saudi Aramco crossed the ceiling last December after it was listed. Nevertheless, Apple still deserves the praise given that 98.5% of Saudi Aramco is owned by the Saudi government itself. Moreover, Saudi Aramco has already fallen back to $1.8 trillion at the present.

Under Tim Cook's vision and leadership, CEO of Apple, the company's most important innovation in recent years is its unrivaled ability to generate profits. Cook has been successful in building a sophisticated global supply chain to produce billions of devices and leaned into a product line designed to lock customers into its ecosystem.

Author's note: College dropouts Steve Jobs and Steve Wozniak built the company Apple. They built the first Apple I in Jobs' garage and sold them without a monitor, keyboard, or casing.

Their only goal, in the beginning, was to make computers simple enough that people would want to have one in their home like they have an electric heater or a refrigerator.

Additionally, it took Apple 42 years to reach $1 trillion in value. It took it just two more years to get to $2 trillion.