Apple briefly overtakes Microsoft as world's most valuable company
What's the story
Apple briefly regained its position as the world's most valuable company on Wednesday, surpassing Microsoft.
This achievement was largely due to the tech giant's advancements in artificial intelligence (AI) technology.
According to Dow Jones Market Data, Apple closed with a market value of $3.267 trillion, slightly trailing Microsoft's $3.278 trillion.
Apple's market value increased by nearly $306 billion over the past two days.
Market performance
Apple's stock surge and market dominance
Apple's shares surged nearly 4% to a record $215.04, elevating its market valuation to $3.29 trillion.
This marked the first time in five months that Microsoft's market capitalization fell behind Apple's.
The surge in Apple's stock coincided with the tech-heavy Nasdaq reaching a record high amid indications of cooling inflation.
Earlier this week, Apple introduced new AI features expected to boost iPhone sales and counter a sales decline caused by fluctuating consumer spending and increased competition from tech rivals.
AI innovations
Apple's AI advancements and market performance
At Apple's annual developer conference, CEO Tim Cook and other executives showcased how the voice assistant Siri would interact with messages, emails, calendars, and third-party apps.
Michael James, managing director of equity trading at Wedbush Securities in Los Angeles, told Reuters that "the questions about Apple lagging in AI technology were answered at the Worldwide Developers Conference."
Analysts predict that these innovations will drive iPhone sales.
Market performance
Apple's performance in the stock market
Historically, Apple has lagged behind rivals such as Microsoft and Alphabet in the AI field, contributing to its relative underperformance in the stock market this year.
However, concerns eased after Apple surpassed market expectations for quarterly results and forecasts in May and announced a record $110 billion buyback plan.
In 2024, Apple's shares have risen about 12%, while Microsoft and Alphabet have seen gains of approximately 16% and 28%, respectively.