The Tim Cook era comes to an end: Apple stock surges 2,275%, pushing the company's value to $4.6 trillion.

Tim Cook handed over the CEOship of Apple to John Ternus after nearly 15 years in charge, during which he generated a 2,275% stock return and pushed the company's value from less than $3.5 billion to $4.6 trillion.

On September 1, 2026, at 2:43 PM, Bloomberg News reported that Tim Cook handed over the position of Chief Executive Officer (CEO) of Apple to John Ternus on Tuesday, ending his nearly 15-year tenure at the company. During that time, Apple rose to become one of the world's most valuable companies, and its stock became one of the most outstanding investments in the market.

Since Tim Cook took over from legendary co-founder Steve Jobs at Apple on August 24, 2554, Apple's stock price has soared by 2,275%, while the company's market capitalization has increased from less than $3.5 billion to a valuation of $4.6 trillion today.

Under Tim Cook's leadership, Apple's business expanded from relying on core products like the iPhone and Mac to a more diverse ecosystem including the Apple Watch, AirPods, and financial services, as well as services which have become a major source of revenue for the company.

Chris Brigati, Chief Investment Officer of SWBC, said that while Steve Jobs left a very high standard for Tim Cook, he is also leaving an equally high standard for his successor, albeit in a different form, particularly in expanding the company's growth engines.

Including dividends, Apple's stock return during Tim Cook's tenure as CEO reached 2,736%, compared to the S&P 500's 769% increase and the Nasdaq 100's 1,512% increase over the same period.

This performance placed Apple among the top 40 best-performing stocks in the S&P 500 during that period, although it still lagged behind Nvidia, whose stock price soared more than 72,000%, as well as other major tech stocks like Tesla and Broadcom, which outperformed Apple under Tim Cook.

Allen Bond, Managing Director and Portfolio Manager at Jensen Investment Management, sees one of Tim Cook's key legacies as his ability to lead Apple steadily over a long period amidst significant changes in the technology industry.

Bank of America estimates that under Tim Cook's leadership, Apple's market value increased by an average of approximately $32 million per hour, every hour, for nearly 15 years.

Apple was also the first company to surpass $3 trillion in market capitalization and has held the title of the world's most valuable company multiple times. Currently, Apple shares account for approximately 7.1% of the S&P 500 index, up from less than 3.3% in 2011 and peaking at nearly 7.9% last month.

Apple's revenue has steadily grown under Tim Cook, increasing from $1.57 billion in fiscal year 2555, his first full year as CEO, to $4.16 billion most recently.

When Apple closes its fiscal year 2569 at the end of September, the company's revenue is expected to increase to approximately $4.77 billion.

One of the key engines of growth is Apple Services, which is projected to generate more than $1.09 billion in revenue by fiscal year 2568, or more than a quarter of the company's total sales. This compares to $1.6 billion in revenue in fiscal year 2556, or 9.4% of total revenue.

Tim Cook oversaw successful product launches like AirPods and the Apple Watch, but not every project was a success. Vision Pro and efforts to develop self-driving cars failed to produce the results the company expected, leading to criticism that Apple's innovative edge had declined.

Meanwhile, Apple's delays in the field of artificial intelligence (AI) are seen by some investors as opportunities the company has missed.

Bond views the push for the Services business as perhaps Tim Cook's most significant achievement, as it's a high-margin business, generates recurring revenue, and is one of Apple's fastest-growing sectors. However, the biggest weakness of the Cook era is AI.

Another significant legacy from Tim Cook is the share buyback program. The number of Apple shares in circulation has fallen nearly 45% from their peak in 2555 to their lowest level since 1998.

From fiscal year 2555 until the first quarter of 2569, Apple has spent more than $8.4 billion on share repurchases.

Under Ternus's leadership, Apple's approach to funding may change. Bank of America suggests the company could increase investment in research and development (R&D), capital expenditures (Capex), and large mergers and acquisitions (M&A) as competition in AI may force Apple to adapt at a faster rate.

John Ternus will face a major test immediately after taking office. Next week, he is scheduled to take the stage at a major product launch event, which is expected to unveil the foldable iPhone along with other new products.

Investors view Ternus's challenge as combining the strengths of two eras: the ability to innovate and achieve exponential growth during the Steve Jobs era, and the stable management and creation of new revenue engines under Tim Cook.

Meanwhile, Apple's current stock price is relatively high, trading at approximately 33 times projected earnings over the next 12 months, compared to a 10-year average of 23 times and only about 12 times during Cook's tenure as CEO.

Of the 58 analysts tracked by Bloomberg, 34 recommend a “buy” rating for Apple stock, which is significantly lower than the approximately 95% of analysts who have a positive view on major tech stocks like Microsoft, Nvidia, and Amazon.

Therefore, Ternus's mission is not only to sustain Apple's growth, but also to prove that the company can regain its leadership in innovation, especially in an era where AI is becoming the most important battleground in the technology industry.

Reference: www.bloomberg.com

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