Apple becomes second ever $5tn company as investors flee AI stocks
📰 source: theguardian_business · 💼 business
apple became the second company ever to hit a $5tn market cap on tuesday, with shares touching $342.89 before settling near $4.99tn. the milestone came as investors piled out of ai and semiconductor stocks, triggering a correction in the nasdaq 100 — down more than 10% from its june record high. chip stocks including intel, amd, and western digital fell over 4%, while south korean chipmakers sk hynix and samsung dropped more than 10%.
apple has largely sat out the ai spending race, relying on google's tech for services like a revamped siri and avoiding the hefty infrastructure costs that have weighed on rivals. its stock is up 24% this year, far outpacing the rest of the magnificent seven. the company also launched a device leasing programme with klarna to boost demand, with monthly payments starting at $17.99 for an iphone. analysts expect q3 earnings on thursday to show revenue up more than 15% year-on-year.
why it matters: apple's $5tn valuation shows investor preference for cash-rich tech companies over ai capex-burdened rivals.
source: theguardian_business
sentiment: +0.70 · impact: 0.85