The Saudi state oil group Saudi Aramco on Wednesday dethroned American technology company Apple as the company with the highest market capitalization worldwide. That happened after a fall in Apple stock.
The share of Aramco is almost at a record level and the state group reached a market value of 2.430 billion dollars on Wednesday. This makes Aramco worth more than Apple for the first time since 2020. The tech group lost nearly 4 percent on the stock market shortly after noon in New York on Wednesday, pushing its stock market value down to $2,410 billion.
Earlier this year, Apple’s stock market cap was nearly $1 trillion higher than Aramco’s, but Apple’s share has since lost 16 percent, while Aramco’s has risen 27 percent.
“Even if the switch of power were short-lived, it does point to a number of forces at play on the global economy,” writes the financial agency Bloomberg. High oil prices are good news for Aramco, for example, while high inflation and the response to interest rate hikes are weighing on the shares of technology companies. “There are panic selling in the technology sector, among other things, and the money coming out of that seems to be going mainly to the energy sector, which now has a favorable outlook,” said Tim Ghriskey, an analyst at Ingalls & Snyder. “That benefits companies like Aramco.”
Apple remains the largest stock exchange company in the United States, ahead of Microsoft (1,960 billion dollars).
Free unlimited access to Showbytes? Which can!
Log in or create an account and never miss a thing from the stars.