Apple surpasses overtakes Nvidia with $5 trillion market value

US technology giant Apple has etched its name into stock market history, briefly surpassing a $5 trillion market valuation during trading on the New York Stock Exchange, becoming only the second publicly listed company ever to reach the milestone.

During Tuesday's trading session, Apple's share price climbed to $342.89, pushing its market capitalisation to approximately $5.036 trillion. Although the stock pared some gains before the closing bell—ending the day around $339–340 per share—its market value remained just below the historic mark at roughly $4.98–4.99 trillion.

The milestone came just a day after Apple reclaimed its position as the world's most valuable listed company, overtaking chipmaker Nvidia. Nvidia had become the first company to cross the $5 trillion threshold in October last year, driven by surging global demand for artificial intelligence (AI) chips.

While Nvidia's stock has recorded only modest gains this year, Apple's shares have surged by around 25 percent, significantly outperforming many of its Big Tech peers.

Market analysts say Apple's strategy of avoiding massive investments in AI infrastructure has helped strengthen investor confidence. Unlike competitors such as Microsoft, Alphabet and Meta, which have committed billions of dollars to AI data centres and chip development, Apple has focused on integrating external AI technologies—including Google's AI capabilities—to modernise its virtual assistant, Siri, while limiting infrastructure costs and financial risk.

The company has also benefited from resilient consumer demand. Despite raising prices for certain MacBook and iPad models amid global memory chip shortages, Apple has kept iPhone prices unchanged, encouraging customers to upgrade devices amid expectations of future price increases.

Adding to its consumer-focused strategy, Apple recently partnered with payment platform Klarna to launch "Upgrade," a new leasing programme in the United States. The initiative allows customers to use an iPhone for $17.99 per month, an Apple Watch or iPad for $11.99, and a Mac for $24.99 on a two-year plan.

Forrester Vice President and Principal Analyst Dipanjan Chatterjee said Apple's approach reflects a calculated business strategy.

"Rather than competing aggressively on AI infrastructure spending, Apple has prioritised customer experience. The new leasing model effectively converts a large upfront purchase into an affordable monthly payment, making premium devices more accessible to consumers," he said.

Apple is also preparing for a major leadership transition. From September 1, Tim Cook will step down as Chief Executive Officer to become Executive Chairman, while John Ternus is set to assume the role of CEO.

The company is scheduled to release its latest quarterly earnings after market close on Thursday, with analysts projecting revenue growth of nearly 20 percent compared with the same period last year.

Following Apple in market value is Nvidia at around $4.78 trillion, followed by Alphabet with approximately $3.9 trillion and Microsoft at nearly $2.9 trillion.

Analysts believe Apple's strong cash reserves, expanding services business and long-term semiconductor partnerships—including its collaboration with Broadcom—position the company for sustained growth in the years ahead.