Apple's shares break the $500 barrier, on the way to a trillion dollar company?
Despite fair labor disputes at its supplier factories and suggestions that the iPhone 4S won't sell as well as before due to being housed in an iPhone 4 chassis, Apple keeps on breaking sales records and it gets reflected in the share price.
It broke the $500 psychological barrier today, lifted with the broader market thanks to the Greek rescue relief, and now one Apple share costs more than a basic iPad 2.
A lot of analysts believe that the stock is still way undervalued for the performance that Apple is delivering, as it only sells at 14 price-to-earning ratio at this price. Compare that to Amazon, for example, which sells at 137 P/E, and made only quarter of a billion in Q4, dwarfed by Apple's nearly $7 billion in pure profit.
Still, investors were weary about the passing away of an inspirational leader as Steve Jobs, but apparently his legacy and product pipeline will ensure Apple's well-being for quite some time, and now the bets are whether Apple will become a trillion dollar company in a few years, as today it stands close to $500 billion already.