Apple (AAPL) ended last week with a market cap of $555 billion, which was just $25 billion larger than the second largest company in the world — Alphabet (GOOGL). With a gain of 12% this week, Apple’s market cap ballooned by $67 billion up to $622 billion, which now makes it the largest company in the S&P 500 by $83 billion.
To put things into perspective, Apple’s gain of $67 billion in market cap this week is larger than the market caps of 439 stocks (roughly 87%) in the S&P 500. Apple’s increase in market cap in just one week is the equivalent of adding an entire Costco (COST), or Biogen (BIIB), or Broadcom (BRCM), which all have market caps of roughly $67 billion. It’s the equivalent of adding two Yum! Brands (YUM), or NVIDIAs (NVDA), or Travelers (TRV), which all have market caps that are roughly half the size of Apple’s gain in market cap this week. Travelers (TRV) is another Dow 30 stock, mind you, that has an equal weighting with Apple in the Dow because their share prices are both right near $115. Apple also gained more in market cap this week than the combined market caps of the smallest 354 companies in the Russell 2,000. So yeah, Apple’s gain this week is a pretty big deal for the market.
Below is a chart showing the market caps of the three largest companies in the S&P — Apple, Alphabet and Microsoft. Prior to its declines that began in mid-2015, Apple had a huge market cap lead on GOOGL and MSFT, but the lead had tightened significantly by early 2016. Let’s see if Apple can continue to create space here now that it has broken out the 16-month downtrend that it was in.