- | 1:18 pm
A for Aramco, not Apple. Saudi oil giant is world’s most valuable company
Aramco outranks Apple with a reportedly $2.43 trillion market capitalization.
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Saudi Aramco, the worldās largest oil-exporting company, surpassed iPhone maker Apple to become the worldās most valuable company as surging oil prices drove up shares and tech stocks slumped.Ā
This marks the first time Aramco outranks Apple with a reportedly $2.43 trillion market capitalization, which follows a broader sell-off in technology stocks since the start of the year. Apple stocks fell 3.9% in New York to $148.50, bringing its valuation to $2.41 trillion. The Saudi Arabian oil company exceeds Apple by just over $10 billion.
āAs the world economy started to rebound from the Covid-19 pandemic, Aramcoās net income increased by 124% to $110 billion in 2021, compared to $49 billion in 2020,ā the company said in a press statement.Ā
As per reports, Aramco cautioned that the companyās outlook remained uncertain due in part to āgeopolitical factors.ā
āWe continue to make progress on increasing our crude oil production capacity, executing our gas expansion program, and increasing our liquids to chemicals capacity,ā Amin Nasser, CEO & President of Aramco, said in a press statement.Ā
On the results for 2021, he acknowledged that āeconomic conditions have improved considerably.ā
Saudi Aramcoās shares, which are listed in Riyadh, have risen 28% since the start of the year to trade at a record $12.27.
Oil prices, which surged to a 14-year high of $139 a barrel in March following Russiaās invasion of Ukraine, have helped some of the worldās biggest oil and gas companies deliver record profits in the first three months of the year.
According to experts, globally, market forces such as inflation could cause a drop in consumption, reducing oil demand, while tech shares could continue to be dragged down by investor concerns over company costs, interest rate rises, and supply chain woes.