Jack Nicas, New York Times:
In 1997, Apple was on the ropes. The Silicon Valley pioneer was being decimated by Microsoft and its many partners in the personal-computer market. It had just cut a third of its work force, and it was about 90 days from going broke.
And:
On Thursday, Apple became the first publicly traded American company to be worth more than $1 trillion when its shares climbed 3 percent to end the day at $207.39.
And:
Apple’s ascent from the brink of bankruptcy to the world’s most valuable public company has been a business tour de force, marked by rapid innovation, a series of smash-hit products and the creation of a sophisticated, globe-spanning supply chain that keeps costs down while producing enormous volumes of cutting-edge devices.
A nice little rags-to-riches appreciation piece from the New York Times.
I’ve bought Apple stock a few different times over the years, just trying to be part of the company to which I’d hitched my wagon. One particular investment sticks out.
Apple was valued at about $12 a share (I believe it was in the late ’80s or early ’90s) and their book value was about $16 a share. In other words, Apple had hit a moment in time where the shareholders valued the company as less than the value Apple would have if they completely liquidated all their assets.
What a turnaround.
NYT’s just couldn’t resist adding that closing line:
“The question going forward is: Can Apple continue to innovate?”
Has Apple not already proved this over and over and over?
Methinks the more appropriate question is, “How will Apple change the world, again?”
Or “Will we ever learn to not assume the worst?”
The answer to that one is no, I think.
“Now, with Apple reaching the $1 trillion milestone and the iPhone turning 11 years old, pressure is likely to increase for the company to develop a hit new product.” head -> desk…
That AAPL was worth less than its book value remained true through just about the time the company first started turning profits under Jobs.
Or “will we ever hold other companies to the same standard we demand from Apple?”
I know the answer to that one.
That AAPL was worth less than its book value remained true through just about the time the company first started turning profits under Jobs.
There is one thing ignored by many, Apple holds NO monopoly whatsoever. Apple biz resolves around solving problems, NOT about destroying the competition (Samsung late ads are examples).
Isn’t this the ideal goal of capitalism?