Apple regained top spot in market cap, but facing stagnant revenue growth and modest earnings

From Nasdaq: 2025-02-04 11:55:00

Apple has regained the top spot in market cap among U.S. exchange-listed companies after a tumultuous 2024. Despite a recent 12% dip in value, Apple’s $3.4 trillion price tag still leads the pack by nearly $400 billion. However, experts predict a potential shake-up in the market cap hierarchy in the near future.

Apple’s financial performance has hit a rough patch, with revenue growth stagnating. The company saw 12 straight quarters of single-digit moves in top-line gains, with a compound annual growth rate of just 1.5%. Analysts forecast minimal revenue increases in the coming years, raising concerns about Apple’s growth prospects.

While Apple is transitioning into a services company, its earnings growth remains modest at 2.4% annually. Recent product launches, like the Apple Vision Pro headset and iPhone 16, have faced challenges, impacting sales and growth. However, there is optimism for double-digit bottom-line growth in the next two fiscal years.

Investors are urged to consider opportunities with companies that are poised for growth. Analysts recommend keeping an eye out for “Double Down” stock recommendations, which have historically yielded significant returns for early investors. With alerts for three promising companies currently active, now may be the time to capitalize on potential gains.



Read more at Nasdaq: Apple Will Probably Lose Its Market Cap Crown in 2025