Apple becomes 1st private company worth $1 trillion

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(New York) – Apple became the first private-sector company to surpass $1 trillion in market value following its latest surge after reporting strong quarterly earnings.

Shares of Apple briefly hit $207.05 in late-morning trading, before retreating somewhat. The gains came after the iPhone maker reported strong earnings late Tuesday that prompted a two-day rally in the share price.

The company´s stock was at $206.85, up 2.7 percent near 1620 GMT. Apple said it currently has 4.83 billion shares outstanding.

As with other landmarks — such as the Dow crossing 25,000 for the first time — the Apple record is significant because of its resonance beyond the financial universe.

“The $1 trillion mark is more psychological, and sends a message of growth and size into the market,” said Howard Silverblatt, senior index analyst at S&P Dow Jones Indices.

But many financial insiders view the record as a non-event, despite breaching the psychological barrier.

“There´s no real excitement on the trading desk,” said Karl Haeling of LBBW. “It´s one of those things that does not mean anything by itself… it´s more a testimony of the importance of Apple on the market.”

The landmark is the latest victory for Apple chief executive Tim Cook, who faced skepticism when he took reins of the iconic technology giant in 2011.