If you remember, Alphabet briefly inherited the biggest market cap crown back in early February. Since then, Apple has found new steam gaining about 20% since hitting its lows point for the year on February 11.
Right now, Apple’s shares are up 4% year-to-date and the company is now worth right around $610 billion — that’s nearly $90 billion more than Alphabet.
So much for Alphabet beating Apple to the $1 trillion mark? But I guess we could say that there is still a long way to go. Some analysts think there’s a good argument for each company to continue outperforming the rest of the tech sector and broader market.
Thankfully, Apple’s resurgence comes at a key time for the company.
As many know Apple has been in the middle of a privacy battle with the U.S. government over access to the iPhone used by one of the gunmen in December’s San Bernardino terrorist attack. However recently the FBI said it found a way into Syed Farook’s phone without Apple’s help. So they ended the much publicized battle.
Apple may soon be able to claim that it has sold its billionth iPhone, which is nothing to turn your nose up at.
When you look at all that, Apple’s comeback makes sense. We can also see that the stock was arguably way oversold due to concerns that iPhone sales were peaking.
However we aren’t saying you should underestimate Alphabet.
Many feel that Alphabet/Google has a better track record with the higher profit margin software and services businesses than Apple. Which could speak to longevity.
So even though Apple’s stock may have gotten a bit ahead of itself, you shouldn’t count it out just yet either. This is still a marathon of a race to the finish line.