Apple is most valuable company in history

Jerimiah Yap – Fourth Estate Cooperative Writer

New York, NY, United States (4E) – As Apple and Samsung battle in court, another company’s achievement has been overlooked — Apple set a new record on Monday. The Cupertino-based company’s market value climbed to $ 623.5 billion, making it the most valuable company in history.

The title of most valuable company was held previously by Microsoft, which was valued at $ 618.9 billion thirteen years ago before the dot-com bubble burst.

The reason for the surge in Apple’s stock can be attributed to the heightened anticipation of the release of the iPhone 5 next month and rumors of a miniature version of the iPad sometime this year.

It certainly is a reversal of fortune as Apple’s value was below $ 10 billion eight years ago.

“It’s a stunning achievement for a company that was a struggling also-ran when Microsoft was setting records in the late 1990s…Since 2007, however, Apple (AAPL, Fortune 500) has been an unstoppable force. Its iPhone business alone now brings in more money than Microsoft (MSFT, Fortune 500). Even the iPad, which was intended to be a gap-filling product between the iPhone and the Macintosh, has itself become a multi-billion dollar product for Apple, CNN Money reported.

Microsoft is still the most valuable publicly traded company in history when adjusted for inflation.

Apple may still be undervalued.

“The company’s lightning-quick growth shows no signs of subsiding. With rumors of new gadgets on the horizon, Apple has crossed the $ 400 billion, $ 500 billion and $ 600 billion marks — all in 2012 — as the stock has soared 64% this year.

Despite the fast growth, some say that the company is actually undervalued, since its stock gains haven’t kept pace with its earnings. Trading at 15 times this year’s earnings forecast, it has a price-to-earnings ratio far below that of some tech stocks, including Facebook (FB), Groupon (GRPN) and even Zynga (ZNGA), whose stock has plunged sharply,” CNN Money added.

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