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Nov 2, 2018

9 things you could buy with Apple’s record revenue

Apple, Tim Cook

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Shares of Apple Inc. came under pressure on Friday after the tech giant said revenue for the all-important holiday quarter was expected to come in at the low end of what Wall Street analysts were expecting.

The tech giant said it expects to generate between US$89 billion and $93 billion during the holiday season, versus Wall Street consensus expectations of $92.74 billion.

On the bright side, Apple still reported revenue of US$62.9 billion for its most recent quarter – an all-time record. To put that number into perspective here are some things you could purchase with the amount of money Apple generated in the past three months:

1. A new Apple iPhone and iPad for everybody in Canada

A new iPhone X with 64GB in memory from the Apple store costs $1,379 and a new iPad Mini starts at $529. Buying one of those devices for every one of the estimated 36.95 million Canadians will cost you $70.4 billion Canadian, or just over US$53 billion. That still leaves nearly US$10 billion for Apple accessories and iTunes downloads.

2. Canadian stocks – lots of them

Apple’s record revenue US$62.9 billion in revenue translates into more than $82 billion in Canadian currency. You could buy every outstanding share of Canadian National Railway Co. for $81.53 billion. The railway giant employs about 23,000 people and generates about $13 billion in annual revenue.

You could also purchase every share of Canada’s top 10 cannabis companies for just over $25.3 billion. You could buy every share of Canopy Growth Corp., Aphria Inc., Aurora Cannabis Inc. and seven others and still have enough left over to snap up the $53.5 billion in outstanding Brookfield Asset Management shares.

3. Every barrel of oil produced by Canada’s oil sands, for the next two and a half years

Oil sands producers currently pump an estimated 2.7 million barrels of oil per day. Canadian oil prices are currently about US$25 per barrel because of a lack of pipeline capacity. That means oil sands producers generate about US$67.5 million in revenue per day. Apple’s US$62.9 billion revenue would buy oil production for 930 days.

4. Wipe out provincial debt for six Canadian provinces

If you convert Apple’s quarterly revenue into Canadian currency, it’s enough to wipe out the combined $79.6 billion in provincial debt of the provinces of Saskatchewan, Manitoba, New Brunswick, Nova Scotia, Prince Edward Island and Newfoundland and Labrador.

However, even Apple’s massive revenue is not enough to touch the more than $300 billion in debt the province of Ontario has racked up.

5. Every Canadian-produced vehicle exported to the U.S.

Canada exported about US$56 billion worth of cars and trucks to the U.S. last year.  With Apple’s quarterly revenue, you could buy every last one of them and still have enough money to fill them up with gas.

6. Take your pick of sports teams

Apple’s US$62.9 billion in quarterly revenue is enough to buy every NHL hockey team outright. Forbes magazine estimates the combined value of all of the NHL's teams at just over US$18.4 billion. You would still have enough money leftover to buy the Toronto Blue Jays franchise which is worth an estimated US$1.35 billion, and the top 10 NFL teams that Forbes estimates is worth a combined US$32.75 billion. 

7. Art. Almost all of it.

Apple’s massive revenue almost equals the US$63.7 billion total value of all art sold around the globe in 2017, according to the annual analysis of the global art market by UBS and Art Basel.

8. Free tuition for everyone at Harvard … for the next 60 years

The value of a good education is undeniable. But tuition to a top school like Harvard University can break the bank. Average tuition at the Ivy League school is more than US$45,000 per year. But Apple’s massive revenue could cover complete tuition for the school’s nearly 23,000 students for the next 60 years.

9. A new Tesla for everyone in Calgary and three other cities

Apple’s massive quarterly revenue would be enough to buy a new Telsa Model 3 for more than 1.8 million Canadians. That’s the entire population of Calgary, Kitchener-Waterloo and Cambridge.