Exxon tops Apple as most valuable company

January 25, 2013: 4:39 PM ET
apple exxon stock
Click chart for more on Apple's stock.
NEW YORK (CNNMoney)

Apple's reign as the world's most valuable company ended Friday.

Exactly one year after Apple (AAPL) became the world's most valuable company, it lost that title to Exxon (XOM) as its shares slipped to $439.88.

The precipitous decline has caused Apple's stock to drop in value by about $250 billion since hitting its all-time high of $705 in late September 2012. Since then, the stock has also tumbled more than 35%.

With its market capitalization hovering around $413 billion, Apple is now worth $5 billion less than Exxon.

Apple's stock plunged more than 12% Thursday, after the company disappointed investors with its somewhat tepid forecasts for iPhone sales. Shares of Apple continued to fall Friday, sliding more than 2%.

"It's a fire sale right now. A lot of retail investors who bought at much higher prices have panicked," said Laurence Balter, chief market strategist at Oracle Investment Research.

Still, Balter said that while individual investors may be racing out of the stock, mutual funds and other so-called institutional investors have been buyers over the past several days.

Related: What Apple's earnings really mean

With the recent decline, Apple is a relative bargain, trading at nearly 10 times earnings estimates, down from a PE of 15 when the stock was at its highest point. Compare that to Google (GOOG), which currently trades at 16 times its expected 2013 earnings.

A slew of analysts swiftly downgraded Apple's stock after the company's disappointing iPhone sales outlook. That's not helping the stock much.

CNNMoney's Hibah Yousuf contributed to this report.

Join the Conversation
Markets
Sponsored by
Index Last Change % Change
Dow 17,042.90 -28.32 -0.17%
Nasdaq 4,493.39 -12.46 -0.28%
S&P 500 1,972.29 -5.51 -0.28%
Treasuries 2.51 0.02 0.68%
Data as of 8:05pm ET
Company Price Change % Change
Ford Motor Co 14.79 -0.32 -2.12%
Bank of America Corp... 17.05 0.04 0.24%
eBay Inc 56.63 3.97 7.54%
Apple Inc 100.75 0.64 0.64%
General Electric Co 25.62 0.20 0.79%
Data as of 4:00pm ET