Apple (NASDAQ: APPL) made stock market history on August 19, becoming the first American company to reach $2 trillion in market valuation. The company tumbled below $2 trillion later in the day, however.
Apple had previously set a significant milestone by being the first company to reach a market valuation of $1 trillion back in 2018, followed immediately by Amazon (NASDAQ: AMZN), which had been trailing Apple in the race for some time. Last week's landmark moment was staggeringly impressive, as the company had doubled its valuation in just two years.
The moment was made thanks to Apple's 4.3 billion shares, and a stock price of $467.77, which pushed the company over the threshold. Apple lost its impressive valuation before trading ended; however, closing at $462.83. Apple would outperform this high, however, reaching $514.91 on Monday, thanks to a pre-market rush. At market close on Tuesday, Apple stood just below $500 by $0.70.
The success Apple has experienced is due to a shift in its business model, relying less on the sale of electronics, such as the company's flagship product, the iPhone, and more on services for users. Products such as Apple TV, Apple Music, and of course, the App Store, have helped the company instill a strong confidence in investors that has driven the tech giant to landmark success twice within two years.
The ascent to $2 trillion has been marked by a slew of product launches, but also plenty of backlash and a growing backlash against the company's practices. Recently, the company has been hit with an antitrust lawsuit by Epic Games over the company's app store policies. Epic's lawsuit draws from the same complaints that landed Apple in hot water with the European Union, which brought an antitrust investigation and a great deal of scrutiny to the company's app store practices.