Shares go up following the company’s earnings report

May 2, 2019 06:54 GMT  ·  By

Apple is once again worth over $1 trillion, after the company’s shares went up 6 percent on Wednesday following the latest earnings report.

This is the second time Apple reaches the $1 trillion threshold, after previously becoming the first tech company to be worth that much. Microsoft also touched the same milestone earlier this week.

Apple stock jumped 6% in early trading to be priced at $212.68 before ending with a 4.91% increase and pushing the total value of the company to $969 billion.

Microsoft was still worth more than Apple at the end of the day with $980 billion market capitalization, but the Cupertino-based tech giant surpassed Amazon, which has long been considered the next big name reaching $1 trillion.

As for the reasons behind Apple’s increase, it’s mostly the performance of the company’s product portfolio except for the iPhone.

iPhone sales going down

iPhone sales dropped 17% in the fiscal second quarter, but on the other hand, the other devices, including here the Apple Watch and iPad, performed particularly well.

At the same time, Apple’s Services unit keeps growing, and the last quarter alone it went up no less than 16%, helping propel the company towards the $1 trillion threshold. The Services division helped compensate for the drop in iPhone sales, and it is expected to continue growing in the coming quarters.

Microsoft itself is also betting big on services, with products like the company’s cloud offering currently the main growth engine.

While this is a major achievement for Apple, CEO Tim Cook previously downplayed its importance, claiming it “isn’t the most important measure of our success.”

“Financial returns are simply the result of Apple's innovation, putting our products and customers first, and always staying true to our values,” Cook said in a memo he sent to employees last year.