Apple’s market cap saw addition of more than $100 billion in a matter of days after reports of Apple Car came out in the media. Reuters had reported that Apple is still working on its plans to build a self-driving car that could rival Tesla, and it intends to launch it in 2024.
The company’s stocks have jumped from $119.06 at the end of November, to $132 on December 23, with a major boost coming right after Apple Car news. The company is on track to post record gains again this year, notes Bloomberg.
The stock gained as much as 4.8% to its highest level since September, adding about $100 billion to the iPhone maker’s market value. Apple’s session high would represent a record close for the stock.
Its shares have risen more than 20% since the start of November, bringing its year-to-date advance to 81%. Apple is on track for its second straight year with a gain above 80%
Apple Car news see the company’s stocks rise by more than 4%
Investors and analysts have warmed up nicely to Apple Car news, despite some pessimism regarding low margins that are part of the auto industry. The market sector in which Apple usually operates, it will be aiming for high-profit margins, depending on what technological advances it aims to introduce. Many analysts see the auto market as ripe for disruption in many ways: electronic vehicles that could rival Tesla, self-driving cars, smarter software integrations, improved batteries, and more.
Reuter’s report mentioned that Apple is examining battery improvements for its car that could be safer and provide more mileage than what is possible at the moment.
Apple’s design means that more active material can be packed inside the battery, giving the car a potentially longer range. Apple is also examining a chemistry for the battery called LFP, or lithium iron phosphate, which is inherently less likely to overheat and is thus safer than other types of lithium-ion batteries.
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