Why Apple Rose 12.3% in December

What happened

Actions of Apple (NASDAQ: AAPL) climbed 12.3% in December, according to data provided by S&P Global Market Intelligence.

IPhone maker sees shares trading at record highs; they have increased by almost 77% this year.

Image source: Getty images.

So what

Apple has profited from the coronavirus pandemic as sales have remained strong due to more people buying the company’s devices to stay in touch with loved ones. For its full year ended Sept. 30, total revenue grew 5.3% year-over-year to $ 274.5 billion, while net income edged up 3.9% from year over year to $ 57.4 billion. These numbers show that the tech giant still has room to show continued growth even with a large revenue base.

What was interesting, however, was the surge in sales of wearable devices and services, two divisions that saw double-digit year-over-year revenue increases. Wearable devices, which include the Apple Watch and Airpods, saw revenue increase 25% year-over-year to $ 30.6 billion and absorbed 11.2% of total revenue from Apple, up from just 9.4% a year ago. Services, a division that promises stable recurring revenue for Apple, now accounts for nearly a fifth of total revenue, up from 17.8% last year.

Now what

Apple’s pipeline of innovative products hasn’t missed a beat, with news that the iPhone maker intends to offer a foldable phone similar to what its close competitor Samsung Electronics offers. The product will supposedly bend like a shell, but it is still early in its development as the design of the new phone has yet to be confirmed. The product is scheduled for a 2022 or 2023 release.

There has also been some buzz surrounding what has come to be known as the “Apple Car,” a self-driving car that Apple has been working on for years that promises to be a breakthrough in terms of battery technology and battery technology. automated vehicle. Although this project has been shrouded in secrecy, rumor has it that the company plans to launch this new car as early as 2024. If this is true, it is probably the most interesting product Apple has offered so far outside of it. of his hand. kept gadgets and portable devices.