Apple's Market Value Grew From $350 Billion to $5 Trillion During Tim Cook's 15 Years as CEO. Here's What That Growth Curve Means for Apple's Next Chapter Under John Ternus.

Apple (NASDAQ: AAPL) is back in the $5 trillion value club, which it briefly entered as former CEO Tim Cook took leave earlier this year. During his tenure, Apple's stock gained more than 2,600% and made it the most valuable company in the world.

New CEO John Ternus has already begun to make his mark as leader, presiding over several new launches in recent weeks, including the brand-new Apple HomeView product. Sitting at the top of the market makes it harder to keep growing.

As of Oct. 16, Apple stock is still outperforming the S&P 500 by more than double the year-to-date growth rate -- 27% to 13%.

Can the iPhone maker keep it up?

The Apple ecosystem

Apple's main product is the iPhone, but its ecosystem of products, including computers, watches, tablets, and more, keeps customers in the Apple world. All of its products interconnect, making it easy to use profiles across the system.

For example, the new HomeView product is meant to be a central unit for a home that can access your data and accomplish tasks for users. Once a customer buys their first product, they tend to stay within the ecosystem, buying all their tech devices from Apple.

The company's user-first experience has generated loads of global fans, creating an ongoing cycle of new and improved products and higher sales. The cycle is driven by the iPhone, which accounts for around half of total sales in a given quarter.

In the 2026 fiscal third quarter (ended June 27), total revenue increased 16% year over year, and iPhone sales were up 22%. It was the third in a row with iPhone sales above 21%. The responsibility is on Ternus to keep things that way, and as the former leader of hardware engineering at Apple, he has been well-trained for this new role.

How high can Apple stock go?

It isn't feasible for a company that's already worth $5 trillion to gain another 2,600%. However, as the company is demonstrating in 2026, it can still beat the market.

Investors are piling into Apple stock today because they're realizing Apple might have the right idea about AI. Instead of overspending on an AI mode, like some of its peers, Apple is focusing on consumer hardware, which is what it does best, and adding AI services deliberately.

As investors continue to push up the price, though, it's become quite expensive. It's trading at a price-to-earnings ratio of 39, which means it's not the ideal time to buy. However, Apple can provide long-term value for investors who hold it for years.

Jennifer Saibil has positions in Apple. The Motley Fool has positions in and recommends Apple. The Motley Fool has a disclosure policy.