WooHoo!!

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Not only in Cupertino, Mat.
Not only in Cupertino.

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Makes you laugh even more when you think of what Michael Dell said years ago about Apple...

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While the point is well taken, IBM sold their PC business to Lenovo two years ago and a majority of their business is services consulting. Either way, Apple surpassing HP, which it did recently as well, is quite an accomplishment.

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Thanks to Microsoft for producing some poor products (note some are v.good), thank Dell for letting standards slip.

This does show that quality can triumph over quantity.

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This is true, but Apple is not just a computer company anymore. They're diversifying their product line, expanding their reach, and reaping the rewards. This is all totally awesome for them, but saying they are "the most valuable computer company" is a bit misleading. Here's an example. You sell lemons and make $50 doing so. Meanwhile, I sell lemons and oranges and make $110. can you really call me the "most valuable lemon salesman", especially if you factor in that $70 of my $110 is from orange sales?

I'm not a hater. I love Apple. I've got a Powerbook and I'm about to upgrade to a Macbook. I think they make the best computers available. I'm just saying, a large chunk of that market cap is from iPods.

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Good for Apple - from a fan who got on board in the mid nineties, it is fantastic to see. Never thought I'd see the day!

Remember when all the tech / PC rags (including Wired) used to have a section dedicated to "Apple Death Watch"
That was back when we almost ended up with 'Snapple' (Sun acquiring Apple)which there was speculation of.

@3 SO TRUE! I like to mention that quote often lately. But I guess that is why Mr Dell has to sell his wares at Wal Mart now...

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Its a fair comparison. That HP and Dell have both tried making media hardware and not done nearly as well just further proves the point.

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It's amusing to watch laypeople analyze the market shilling for the company they like. The last couple of days these posts have become some ubiquitous that makes me wonder if there's a marketing person behind all of this. For all the fuss about market caps: it's a fictional value. Stop salivating and do some education: http://en.wikipedia.org/wiki/PE_ratio

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speaking as someone who has been with apple through the darkest of times, this is like some beautiful, crazy dream that i don't want to wake up from.

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@ #7: Very true.

@ #9: Regardless of HP & Dell's attempts at the media hardware (read: iPod) market, Apple makes a lot of money from the iTunes Music Store as well, where the margins are a lot higher.

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Did someone compare Apple to Sony, they make computers too and are more equal in their full line of product offerings...

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@Mike:

"You sell lemons and make $50 doing so. Meanwhile, I sell lemons and oranges and make $110. can you really call me the "most valuable lemon salesman", especially if you factor in that $70 of my $110 is from orange sales?"

Just because I make $50 in lemon sales, it doesn't mean you necessarily do... oranges could account for less than $70 of your total revenues.

Other than that, spot on - I think it's more accurate to say "technology company involved in computers" or something less specific.

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@13....Sony is comparable to Apple? Sony makes everything under the sun is a consumer electronics company that makes computers. Apple is a computer company that makes consumer electronics. No, I don't care if you think Apple is a consumer electronics company now....the mac is the center of their technology experience not the ipod.

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You have to take into consideration Microsoft when looking at the market share of the other PC makers. Apple profits directly from it's hardware and software sales. Microsoft has a market cap > 290B.

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You have to ask yourself if there's a little bit of irrational exuberance, though. A P/E of 53?! You gotta wonder how sustainable that is - the historical average for most companies is somewhere around 20. (IBM is 16.88, HP's is 20, Dell is 22).

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@4 Yes IBM sold their computer business to Lenovo but they still make Laptops for corporate contracts. My company has a contract with IBM and they replace our laptops every year with new ones and their is not a single Lenovo component in them. I believe that still makes them a PC maker.

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#10 & 17 are right. I won't touch Apple Stock right now, with a P/E of 47, and a 2008 projection of 37 and 2009 of 30 too much risk. The stock was a buy according to most analysts only 6 months ago it has been downgraded to overweight. With a P/E of that number something has to give, anything over a 30 or so means it is a bubble. You have to ride it till just before it bursts.

A lower stock price isn't necessarily bad for a company, stock holders yes. Microsoft has a stagnant stock yet had more net income than Wal-Mart with 1/6th the gross income.

Also as far as market cap, Wal-Mart has about $178 Billion, so if Apple passes Wal-Mart would you say they are a bigger company? If you did, you would be insane.

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@13 Mac Junkie: Sony (SNE) has a market cap of 45B, not even worth mentioning here.

@19 Guy: Not sure what point you are trying to make with that last paragraph. The article was pretty careful to use market cap (value). Nothing was said about size of the company.

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