Apple became the first company to reach a market value of $700 billion Tuesday as shares vaulted amid upbeat news on the US tech giant's gains in the smartphone market and soon-to-arrive smartwatch.

Shares rose 1.9 percent to close at $122.02, lifting Apple's market value to $710 billion, and making it the first company to hit the $700 billion milestone.

Apple chief executive Tim Cook, speaking at the Goldman Sachs Technology & Internet Conference, said Apple was hitting its stride.

"We've taken (the mobile operating system) iOS and extended it into your car, into your home, into your health. All of these are really critical parts of your life," Cook said.

"We want one seamless kind of life. And so, I think that is huge for our future...We also did a lot of things to further our global footprint. And so, if you look at what we've done in China, we've opened more stores there. We've opened a lot more distribution there. Through the world, we've opened almost 20,000 new points of sale. We've opened 27 new Apple Stores, lot of flagship stores."