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It’s been 10 years since Tim Cook took over from co-founder Steve Jobs as CEO of Apple. Over the next decade, Cook transformed the Cupertino, California-based tech company from a Silicon Valley giant to the world’s largest publicly traded company.
And for investors who have held Apple stocks since Cook took over, his tenure has been a huge financial success, with the stock yielding nearly 1,200% over the past decade.
If you invested $ 1,000 in Apple the day Cook became CEO in 2011, the market value of your stock would be worth $ 12,970.28 today, according to CNBC’s calculations. In contrast, a $ 1,000 investment in the S&P 500 Index would have generated a return of 365.9% over the same period and would be worth approximately $ 4,659.
While it hasn’t introduced many new hardware products, the Apple Watch and AirPods, released in 2015 and 2016 respectively, are the two most notable new devices released under Cook, with the rest coming in the form of annual upgrades of iPhones, iPads. and Mac – Cook increased Apple’s profits by leveraging its massive and loyal user base into a recurring source of subscription revenue through services like Apple Music and iCloud storage.
Apple’s services business, which includes Apple News + magazine subscription service and Apple TV + streaming platform, grossed $ 2.95 billion in fiscal 2011, a figure that climbed to $ 53.77 billion in fiscal 2020.
Under Cook’s leadership, Apple grew from a market cap of $ 364.4 billion to $ 2.45 trillion, becoming the first publicly traded U.S. company to reach a market cap of $ 1 trillion in 2018, and reaching $ 2 trillion just over two years later.
But all has not been smooth for Apple. The company has been criticized in recent years by users, rivals and Washington for a number of practices, including the 30% fee it charges on most App Store transactions.
But remember, despite the strong growth in Apple stocks, any individual stock can outperform or underperform and past performance does not predict future results. Make sure you research your options carefully before investing your money in the stock market.
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