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Apple nears trillion dollar valuation following latest results

Apple is tantalisingly close to becoming the world’s first trillion dollar company, despite failing to meet analysts’ expectations for sales of its flagship smartphone, the iPhone X.

After publishing its latest set of results, the US tech giant saw its share price rise by more than 5 per cent on Wednesday to the $200 mark, just a few dollars short of an 11 figure market cap.

While the company sold fewer iPhone Xs than expected, it exceeded expectations for the average selling price, with devices changing hands for $724, rather than $694.

“Apple’s narrative is shifting towards their ability to sustain mid-single digit sales growth despite flat iPhone units and low-to-mid teens EPS growth via buybacks,” said analysts from RBC Capital. “Hit Snooze for 90 Days. Path to Trillion Intact.”

CEO Tim Cook said he was “thrilled to report Apple’s best June quarter ever, and our fourth consecutive quarter of double-digit revenue growth”.

He added: “Our Q3 results were driven by continued strong sales of iPhone, Services and Wearables, and we are very excited about the products and services in our pipeline.”

The news came as the Guardian reported that the Chinese smartphone manufacturer Huawei had overtaken Apple to become the world’s second biggest seller of smartphones. It marks the first time in seven years that Samsung and Apple have not led the pack, analysts noted.

While Apple’s market cap hovers around the $980bn mark, Amazon sits at $868bn and Alphabet, Google’s parent company, sits at $852bn.