After hitting a market cap of $3 trillion on Monday, Apple dropped back under the mark. Apple's share price hit $182.86, breaking the barrier.
The milestone is symbolic but it shows investors are still bullish on Apple. After briefly hitting the $3 trillion mark, Apple was up 2.5% on Monday to a price per share over $182.
Apple's valuation tripled in four years. Analysts think there's plenty of room to run.
In its fourth-quarter earnings, Apple showed annual growth across all of its product categories, with revenue up 29%. Apple's services business grew 25.6% year-over-year and delivered more than $18 billion in revenue during the quarter.
In December, Morgan Stanley's Katy Huberty raised the firm's price target on Apple from $164 to $200 and maintained the equivalent of a buy rating, arguing that new products like virtual reality and augmented reality headsets aren't yet baked into the share price.
Morgan Stanley expects Apple to ship 83 million units in the December quarter, 3 million more than they anticipated, and Apple's App Store revenue to surpass their forecasts.
Apple sold 27 million pairs of its newest AirPods model over the holidays, driving 20% year-over-year growth for Apple's Wearables business during the quarter, according to a Monday note.
The mark has more room to grow since it is valued at over a trillion dollars, according to Daniel Ives.
Apple's strong balance sheet and cash flow, which it uses to invest in new products, stock buybacks and to return capital to shareholders, made it a safe haven for investors during recent market uncertainty.
Apple became the first publicly traded U.S. company to hit a $1 trillion market cap. Two years later, it hit a $2 trillion valuation.
Apple's peers are not far behind. Microsoft is worth about $2.5 trillion, Amazon has a market cap of $1.75 billion, and Google is worth $2 trillion.
Apple's stock increased in 2021.
