Apple Inc. (AAPL) has boasted the largest market cap among all public companies for years. Its value currently stands at $807 billion. During the course of 2017, it has increased its lead over number two Alphabet Inc. (GOOGL), which has a market cap of $696 billion.
So far this year, Apple's market cap has increased by 34%, while Alphabet's is up 22%. Apple's strength has ridden the rumored demand of its new iPhone 8 and iPhone X, as well as growth of its software business. Even rumors of low supply of its new iPhone products has barely dented its share price, which is up 2% in the past month compared to a 3% advance in the S&P 500. For many companies, such negative and persistent rumors would do more damage.
Apple's strength has another component, at least near term. The three-month holiday season has just started. Demand for Apple products spikes toward the end of each year as Americans go shopping. Unless the shortage of iPhones is crippling, Apple could rack up a record quarter in terms of both revenue and earnings.
Apple also has an investor benefit most huge tech companies do not. It pays a dividend, and the current yield is 1.6%. That seems less than modest, but not for a company with Apple's recent share price record.
It is almost impossible for Alphabet to close the gap with Apple. Granted, its Google business is the world's largest search engine. However, its revenue growth has slowed and probably will slow further. Google does not have the strong product introduction benefit Apple has with the iPhone.
Apple's position at the top of the market cap list could last well into the future.