San Francisco — Apple shares rallied to an intraday record on Tuesday, continuing a year-end surge that’s cemented its lead over Amazon as 2020’s best-performing of the largest technology stocks.

Apple has advanced 16% in December amid signs of strong demand for its iPhone 12 models and optimism about its self-driving car efforts. The gains propelled Apple past Amazon with an 87% rally in 2020 compared to Amazon’s 79% increase. The S&P 500 is up 16% in 2020.

Wall Street has grown increasingly bullish on Apple’s prospects in the coming year with analysts projecting that a recovering economy will fuel even more demand for iPhones, wearables such as AirPods, and services. Apple’s revenue growth is expected to increase to 15% in fiscal 2021 from 6% in 2020, and profit growth is projected to double to 20%, according to data compiled by Bloomberg.

After enjoying a boom in e-commerce sales this year, Amazon is expected to see slower expansion in 2021. Revenue is projected to climb 19% in 2021 after expanding at an estimated 35% clip in 2020.

Apple rose as much as 1.5% to $138.70, giving it a market capitalisation of about $2.3-trillion. The California-based company is trading at 35 times projected 2021 profit, up from 10 at the beginning of 2019. Amazon is valued at 56 times estimated earnings.



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