No bubble fears as Apple, Amazon near US$1tril market value

NEW YORK: For a long time, Apple Inc appeared to be flying solo to a US$1 trillion (RM4.06 trillion) market value, but Amazon.com Inc is right at its heels — and experts have no fears of a tech bubble.

Apple, at US$939 billion, remains the highest-valued private company on the global markets — and could well cross the US$1 trillion finish line after it releases its quarterly results tomorrow.

But Amazon is right behind: on Friday, its market cap reached US$917 billion, before finishing at US$882 billion, thanks to quarterly figures well received by investors.

Google’s parent company Alphabet (US$886 billion) and Microsoft (US$827 billion) are also on track, while Facebook (US$505 billion) is out of the race, having shed US$119 billion in value after results released on Thursday.

The biggest traditional economic players — billionaire Warren Buffet’s holding company Berkshire-Hathaway (US$492 billion) and JPMorgan Chase (US$395 billion) — have been relegated to mere spectators.

According to TDAmeritrade’s mid-year review, Amazon’s stock was the most popular buy in the first half, with Apple the second most popular sell.

Gorilla Trades strategist Ken Berman is convinced that Apple will reach the US$1 trillion mark after tomorrow’s results, thanks to its range of iPhones, growing interest in the iPad and strength in its services.