Published: Sun, August 05, 2018
Business | By Eloise Houston

Tim Cook Thanks Employees in Memo After Apple’s Enormous $1 Trillion Valuation

Tim Cook Thanks Employees in Memo After Apple’s Enormous $1 Trillion Valuation

Taking a modest victory lap, Tim Cook is praising Apple employees for helping the company's value surpass $1 trillion, this week.

Wall Street's optimism about last year's 10th anniversary iPhone, coupled with record share buybacks, have propelled Apple's stock 34 percent higher over the past 12 months, pushing the company's stock market value above $1 trillion on Thursday.

The Cupertino, California-based company earned $2.34 per diluted share in its fiscal third quarter, up 40 percent from the same period in 2017.

Jobs, who founded Apple in a Silicon Valley garage in 1976 with Steve Wozniak and built it into a global powerhouse, died in October 2011.

It's official-Apple is now the first $1 trillion publicly listed USA company, crowning a decade-long rise fueled by its ubiquitous iPhone that transformed it from a niche player in personal computers into a global powerhouse spanning entertainment and communications.

United States tech companies have cemented their position in the broader market, now making up the top five most valuable enterprises based on share prices.

The tech company's stock jumped 2.9 percent to end the day at $207.39, giving it a market capitalization of $1.002 trillion.

"As ever the discussion we have around each quarterly Apple earnings is to what extent it can shift away from relying too heavily on iPhone sales and we saw yet more impressive progress again in the second quarter as services revenues rose sharply".

"Financial returns are simply the result of Apple's innovation, putting our products and customers first, and always staying true to our values", Cook said in the memo. Despite a decent earnings report, though, Amazon ended up a few millions short and stabilized near $900 billion for most of the past week.

The amount of payout to Cook every year can vary significantly depending on where Apple stands relative to other companies in the S&P 500 index.

For Cook, more important than growing your company's public market valuation to a particular level is the ability to create a world-class team committed to the success of the company. The iPhone, introduced by Jobs in 2007, has sold more than one billion units.

"Just as Steve always did in moments like this, we should all look forward to Apple's bright future and the great work we'll do together", he added.

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