Exxon Tops Apple in Market Cap Battle
January 25, 2013 by Paul Ausick
Apple Inc. (NASDAQ: AAPL) has fallen to second place with a market cap of $416.44 billion.
The two companies’ positions are likely to see-saw back and forth for the rest of the day. While the top ranking is essentially meaningless, there’s still a psychic power mixed in with being number 1.
Based on what the two companies actually do, there’s really no comparison. Exxon’s value is heavily tied to the amount of oil and gas it sits on and its ability to get it out of the ground at the right price and the right time. Value is rightly measured in years or even decades for companies like Exxon.
Apple’s value comes from being an innovator and thought leader. That is much more difficult ground to defend. A storehouse of good ideas is only valuable depending on the company’s ability to turn those ideas into unique and compelling products that command a premium price.
It’s much easier to knock-off a smartphone than it is an oil reservoir thousands of feet underground. Exxon can sit on its assets and those assets will only get more valuable. Apple can’t do that. It must re-create itself virtually every day.
Take This Retirement Quiz To Get Matched With An Advisor Now (Sponsored)
Are you ready for retirement? Planning for retirement can be overwhelming, that’s why it could be a good idea to speak to a fiduciary financial advisor about your goals today.
Start by taking this retirement quiz right here from SmartAsset that will match you with up to 3 financial advisors that serve your area and beyond in 5 minutes. Smart Asset is now matching over 50,000 people a month.
Click here now to get started.