Apple Refits Microsoft in US Market

The vivid run of Apple (AAPL) in market is continuing in full stake, this time it is the Microsoft (MSFT) who has been overwhelmed by Apple to become the most valuable techno company in world. On Wednesday, for the first time, the total market capitalization of Apple goes up to 222.12 billion USD suppressing that of Microsoft‘s 219.18 billion USD at Wall Street Exchange. Eventually the chart is leaded by Exxon Mobil (XOM), with a market capitalization of 278.64 billion USD.

In the last decade the value of Apple’s stock has progressed in 1030% rate on contrary that of Microsoft has been more or less stationary at one place losing 18%. In exact marketing terms, last year Apple has sold almost 172 million smartphones compared to 360 million of PCs of Microsoft, but the sales rate of Apple is five time stiffer. The other significant fact is, despite of higher prices of its commodities Apple is able to catch the attention of the customers in larger extent than Microsoft.

However the actual evaluation of company’s total value is little bit tricky. According to present balance-sheet, Apple has 23 USD in cash with no debt. Whereas that of Microsoft 37 USD in cash and a debt of 6 USD. Therefore the resulting value of Apple’s enterprise becomes ~200 USD (223- 23) and for Microsoft this is ~189USD (220-37+6). But Apple’s method of calculation of total cash in hand is quite different, as they show 18USD of cash in hand as a long-term investment. Therefore resultant value of Apple enterprise farther decreases to 18 USD and becomes ~182USD. So the bottom-line is, if the market remains unchanged Apple will totally leave behind Microsoft within few more days.

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