Apple's Crown As World's Most Valuable Company Is Threatened By Saudi Aramco As Oil Prices Rise

Saudi Arabian oil giant Saudi Aramco is threatening to overtake tech giant Apple Inc. AAPL as the world’s most valuable company.

What Happened: Saudi Aramco’s market capitalization touched almost $2 trillion on Wednesday after its stock price touched a 52-week high on the Saudi Tadawul stock exchange amid higher oil prices.

The Saudi state oil giant is currently ranked third among the world’s most valuable companies, with a valuation of $1.99 trillion, behind Apple’s market capitalization of $2.35 trillion and Microsoft Corp.’s MSFT $2.2 trillion market cap, as per the latest data from AssetDash.

See Also: How To Buy Apple  (AAPL) Shares

Why It Matters: Saudi Aramco and other energy companies are seen as continuing to benefit from the rally in crude oil prices that have touched multi-year highs in recent days.

Demand for oil is rising as economies reopen following the impact of the coronavirus pandemic. The current global energy crunch is expected to further boost oil prices.

Meanwhile, Apple and other tech stocks have pulled back recently due to worries about rising bond yields.  

It was reported in August that Apple toppled Saudi Aramco to be the most profitable Fortune Global 500 Company in 2020.

Price Action: Apple shares closed 0.6% higher in Wednesday’s trading at $142.00.

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